K’taka Congress MLA Lakshmi Hebbalkar appears before ED

NEW DELHI: Karnataka Congress MLA Lakshmi Hebbalkar on Thursday deposed before ED officials in connection with the money-laundering probe against her party colleague DK Shivakumar, who has now been remanded to judicial custody after 14 days of questioning in ED custody.

While the senior Karnataka Congress leader is lodged in Tihar Jail here and his bail plea is being heard by a Special Court, the Enforcement Directorate recorded Hebbalkar's statement in connection with the money-laundering probe.

The financial probe agency had summoned her to appear before its official in Delhi for the statement on September 19, with Hebbalkar in a note to local mediapersons in Karnataka, saying that this was a case of political vindictiveness.

The ED had initially summoned the Belgavi (Rural) MLA to appear at the headquarters here on September 14 but it was postponed after Hebbalkar asked for an extension.

Sources in the know said that Hebbalkar also requested whether she could join the probe by cooperating with ED officials in Karnataka, which was denied.

The ED had aggressively acted in the PMLA probe against Shivakumar, arresting him after four days of questioning, amid a large number of supporters crowding the ED offices. Probe officials had also interrogated Shivakumar's 22-year-old daughter, Aishwarya, claiming that they needed to ask her questions about a trust company that had been set up in her name.

According to the ED, Shivakumar had amassed a large amount of unaccounted wealth, which he then allegedly laundered through hawala channels and shell companies.

The ED'S case is based on an I-T department chargesheet that alleges that Shivakumar had connections with hawala operators in Delhi and Bengaluru.

However, Shivakumar has made it clear that the I-T department's chargesheet has been challenged and a court had put a stay order on the charges filed.