Former Trinamul MP arrested by ED in money laundering case
He is accused of running a Ponzi chit fund scheme and duping investors
New Delhi, Jan. 13: The Enforcement Directorate has arrested former TMC
MP and businessman Kanwar Deep Singh in a money laundering case linked to an alleged `1,900-crore ponzi scheme fraud, official sources said on Wednesday.
The agency charged the 59-year-old founder of Alchemist Ltd with non-cooperation in the investigation and arrested him under the Prevention of Money Laundering Act (PMLA) on Tuesday night.
He was produced before a court, which sent him to the ED custody till January 16, they said.
The Central probe agency had carried out searches at the premises of Mr Singh and those linked to him in Delhi and Chandigarh in September, 2019 and had seized cash of `32 lakh and $10,000 then.
The businessman was the chairman of Alchemist Ltd, which deals in pharmaceuticals and other sectors, before he resigned in 2012.
The Enforcement Directorate (ED) on Wednesday arrested former Trinamul Congress leader and Rajya Sabha MP K.D. Singh in a money laundering case linked to an alleged `1,900-crore Ponzi scheme fraud. Mr Singh was later produced before a Delhi court which sent him to ED's remand till January 16.
The agency charged the 59-year-old founder of Alchemist Ltd. with noncooperation in the investigation and arrested him under the Prevention of Money Laundering Act (PMLA) on Tuesday night.
Sources say that the arrest has taken place in an ongoing probe in Ponzi chit fund scheme. In 2016, the ED had filed a case against Mr Singh and a firm allegedly linked to him Alchemist Infra Realty Limited.
The ED had conducted searches at the premises of Mr Singh and those linked to him in September 2019 in connection with two PMLA cases.
“In June 2019, the ED had attached assets worth over `239 crore belonging to a firm linked to Mr
Singh. It has been alleged that the Ponzi case in which Mr Singh’s firm is being probed is pegged around `1900 crore,” sources said. Mr Singh has been the chairman of the Alchemist group and while he resigned from the post in 2012, he is stated to be the chairman, emeritus and founder of the business group.
While seeking Mr Singh’s custodial interrogation on Wednesday, ED's special public prosecutor N.K. Matta told the court that Mr Singh’s statements during the questioning were contradictory and he was also evasive in his replies.
The instant case against the former MP and a firm linked to him — Alchemist Infra Realty Limited — dates back to September, 2016 when the ED filed a criminal case under the PMLA taking cognisance of a chargesheet filed against the company, its directors and others by Sebi.
In this criminal case initiated in 2018, the Kolkata police had booked Singh, his son Karandeep Singh, Alchemist Township India Limited, Alchemist Holdings Limited and various other group companies and directors for cheating thousands of customers.
◗ THE AGENCY charged the 59-yearold founder of Alchemist Ltd. with non-cooperation in the investigation and arrested him under PMLA
◗ SOURCES SAY that the arrest has taken place in an ongoing probe in Ponzi chit fund scheme