NEW DELHI: On Sunday, the Enforcement Directorate (ED) reported the arrest of two individuals, including an executive director from the Sahara Group chairman’s core management team and a property broker closely associated with the group, as part of a money-laundering investigation concerning the Sahara Group and its affiliates.
The arrested individuals have been identified as Vailaparampil Abraham and Jitendra Prasad Verma.
According to the ED, Abraham had a crucial role in facilitating the sale of Sahara Group properties, many of which allegedly involved significant unaccounted cash transactions. Verma was actively engaged in executing several of these property deals and aided in the flow of large cash proceeds from these transactions, contributing to the concealment of “proceeds of crime.”
The agency discovered “incriminating” evidence during recent searches, indicating that Sahara Group properties were being sold off quietly and systematically.
The ED alleges that Abraham and Verma played essential roles in these transactions while assisting Sahara Group promoters in misappropriating funds. Furthermore, the promoters were reportedly conducting these operations while located outside India.
The two suspects were presented before a local court in Kolkata on Saturday, which granted ED custody until July 14.
This money-laundering case follows the filing of over 500 FIRs by various state police departments.
The ED has analyzed three FIRs lodged against Humara India Credit Cooperative Society Ltd (HICCSL) along with numerous other complaints regarding Sahara Group entities, leading to its case under the Prevention of Money Laundering Act (PMLA).
It is alleged that the Sahara Group operated a “Ponzi” scheme through multiple entities including HICCSL, Sahara Credit Cooperative Society Limited (SCCSL), and several others.
The ED stated that these funds were managed without proper regulations and oversight, with maturity proceeds not being repaid but rather reinvested under coercion or misrepresentation. Financial records were manipulated to disguise these non-repayments. Despite lacking financial capability, the group continued to solicit new deposits, a portion of which was diverted for personal expenses and benami assets. Furthermore, properties were liquidated for partial cash payments, further negating rightful claims of depositors.
Earlier this year, the ED seized 707 acres of land valued at Rs 1,460 crore in Aamby Valley, Maharashtra, and 1,023 acres worth Rs 1,538 crore in Sahara Prime City Ltd.
