ED attaches Rs. 5.21 Crores in SC-directed Investigation on Karnataka Illegal Mining Corruption Case
ED – SC – directed – Investigation – Corruption – Case – TAXSCAN
ED – SC – directed – Investigation – Corruption – Case – TAXSCAN
The Enforcement Department (ED) has provisionally attached assets worth Rs.5.21 Crore in a case related to illegal mining under the provisions of the Prevention of Money Laundering Act based on the investigation directed by the Supreme Court (SC).
The assets attached are in the form of six immovable properties owned by the accused persons. The ED initiated an investigation under the Prevention of Money Laundering Act, 2002 based onan FIR registered by the Special Investigation Team, Karnataka Lokayukta, Bengaluru against M/s Mineral Enterprises Ltd., unknown government employees & other unknown persons under various sections of Mines & Minerals Development Regulation Act, 1957 and Prevention of Corruption Act, 1988 because of directions issued by Supreme Court of India.
Section 23C of the Mines and Minerals (Development and Regulation) Act (MMDR Act) 1957, empowers the State Governments to frame rules to prevent illegal mining, transportation, and storage of minerals and for the purposes connected therewith.
During the investigation under PMLA, it has been noticed that iron ore have been illegally mined, transported, and traded without valid permits which caused a loss to the exchequer. It was found that the source of such illegal iron ore is 2 mines owned by S.B Minerals having partners - BP Anand Kumar, Panduranga Singh & Gopal Singh, 1 mine owned by Smt. Shanthlakshmi & J Mithyleswar and one mine owned by Bharat Mines and Minerals having partners – M/s BMM Ispat Ltd. & Dinesh Kumar Singhi.
The Centrally Empowered Committee appointed by the Supreme Court(SC) of India during its’ survey of mining leases in the state of Karnataka found gross illegalities/encroachment for these four mines and kept them in C Category and has cancelled their licenses.
The investigation under PMLA found that the accused persons have caused wrongful loss to the Government exchequer and corresponding wrongful gain to themselves.
Support our journalism by subscribing to TaxscanAdFree. Follow us on Telegram for quick updates.
