Under the Prevention of Money Laundering Act (PMLA), 2002, Devki Nandan Garg, Ashok Kumar Goel, Mahesh Kumar, Devender Kumar, and other entry operators, as well as R.N. Saraf and Ramesh Goyal, Chartered Accountants of Devki Nandan Garg, have had various immovable and movable properties with a book value of Rs. 2.14 Crore provisionally attached (SBFL). The input operators provided fictitious invoices and helped Shakti Bhog Foods Limited defraud a group of ten banks, including the State Bank of India, of a loan.
Based on an FIR filed by the CBI against M/s Shakti Bhog Foods Limited and others for criminal conspiracy, cheating, and criminal misconduct leading to a bank fraud of Rs. 3269.42 Crore, the Directorate of Enforcement (ED) opened a money laundering probe. Under the direction and supervision of Ashok Kumar Goel, Devki Nandan Garg, Mahesh Kumar, Devender Kumar, and other entry operators, Shakti Bhog Foods Limited obtained phoney invoices of purchase and sale from the fictitious firms without engaging in any actual commercial transactions. Devki Nandan Garg, an entry operator, had the active support of chartered accountants R.N. Saraf and Ramesh Goyal in legalising his unauthorised lodging entries.
Investigations found that these people also received commission and fee earnings from crime. With their help and cooperation, Shakti Bhog Foods Limited committed the crime of money laundering, including the origination, acquisition, layering, and syphoning off of its loan monies. Further research is now being conducted.
The Prevention of Money-laundering Act, 2002 was used to justify the arrests of Kewal Krishan Kumar, CMD of Shakti Bhog Foods Ltd., Raman Bhuraria, CA, Ashok Kumar Goel, and Devki Nandan Garg, entry operators, on July 4, 2021, August 13, 2021, and September 2021 and 21 respectively. While Devki Nandan Garg has been given a temporary release on bail due to health reasons, Kewal Krishan Kumar, Raman Bhuraria, and Ashok Kumar Goel are in judicial custody. The Hon’ble Special Court has also taken cognizance of the offence against the accused individuals, and complaints of prosecution have been filed against each of these people.
Earlier than this, the ED had temporarily attached a number of the accused’s movable and immovable properties, totalling more than Rs. 98.3 crores in book value. The case’s total attachment, including the current provisional attachment, is Rs. 100.44 Crore.
