Gyan Prakash Sarawgi and 9 other people are the targets of a Prosecution Complaint filed by the Directorate of Enforcement (ED) before the PMLA Special Court in Ranchi under the Prevention of Money Laundering Act, 2002 (PMLA). On 03/06/22, the Special Court received notice of the situation. A Provisional Attachment Order dated 25.05.2020 that attached 10 immovable properties worth Rs 4.25 crore identified as being the proceeds of crime predated the prosecution complaint. The case involves bank fraud, in which the accused individuals illegally obtained bank loans of Rs 77.36 Crore on the pretence of trading in textiles, apparel, and building materials.
Instead, these bank loans were disbursed through a complex web of dealings involving several middlemen and then used to fund the operations of M/s Sarawgi Builders and Promoters Pvt. ltd., a company principally involved in the real estate industry.
Based on three FIRs filed by the CBI’s Economic Offence Wing (EOW), Ranchi against M/s Sarawgi Builders & Promoters Pvt. Ltd. and others, ED opened a money laundering inquiry. In this case, the Proceeds of the Crime amount to Rs. 77.36 Crore.
Prior to Gyan Prakash Sarawgi’s arrest on March 29, 2022, the ED had earlier discovered cash worth Rs 3.37 crore during investigations into the issue on December 15, 2021. Gyan Prakash Sarawgi, the defendant, is now being held in judicial custody at Birsa Munda Central Jail in Ranchi after being remanded to ED’s custody by the Ld. PMLA Court for a period of seven days. The subject is currently the subject of more study.
