The Finance Ministry has informed the parliament that the Enforcement Directorate ( ED ) has handed over properties worth ₹22,000 crore, attached under the Prevention of Money Laundering Act ( PMLA ),2002 to legitimate claimants. These assets were confiscated during investigations into money laundering cases and have now been transferred to rightful owners or institutions following legal procedures.
The properties consisted of various assets confiscated during different cases under the money laundering act. This includes Rs 14,132 crore returned to banks in the Vijay Malaya bank fraud case, Rs 1,053 crore in the Nirav Modi case. The ED handed over Rs 4,025 crore worth of assets attached in the Bhushan Power and Steel case to JSW, which acquired the company via the insolvency process in 2019.
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The ED has started the process of handing over the assets to the liquidator of Gitanjali Gems, the company once owned by Choksi. Under the legal framework of PMLA, the law stipulates that assets may be returned to bona fide claimants once a trial commences — specifically after charges are framed against the accused by the Special Court (PMLA).
As per the latest report, the finance minister stated that the ED has made major progress in restoring assets to the legitimate owners of properties. This achievement highlights the effective use of sections 8(7) and 8(8) of the PMLA, which allow for the restoration of assets to rightful owners when it is determined that the assets were initially acquired via illicit means but ultimately belong to innocent parties.
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