Directorate of Enforcement (ED) unearthed the crime proceeds worth Rs. 457 crores out from search operations conducted in the premises of Chennai and Coimbatore against Santiago Martin & Others under the provisions of the Prevention of Money Laundering Act (PMLA), 2002.
The investigations uncovered that Santiago Martin and his affiliated organisations and entities deliberately inflated the Prize-Winning Tickets claim in the years 2009 and 2010, culminating in an illicit gain alongside an equivalent loss to the Government of Sikkim of Rs. 910 Crore.
Several investments made by the group enterprises were discovered among the seized property, and under the terms of the Prevention of Money Laundering Act, orders were made to freeze mobile property worth Rs. 157.7 crore, including fixed deposits and mutual funds, and immovable property papers worth Rs. 299.16 crore.
The department commenced the proceedings based on the Central Bureau of Investigation (CBI), Kochi’s final report for various allegations against S. Martin and others that were punishable under various sections of the Indian Penal Code (IPC), 1860, related to the selling of Sikkim government lotteries in the state of Kerala.
The ED has searched several locations, including business premises of M/s. Future Gaming Solutions India Private Limited is the master distributor of Sikkim Lotteries, Santiago Martin’s residence in Coimbatore, as well as the residences and business locations of his family members in Chennai.
According to Section 4 of the Prevention of Money Laundering Act, anyone proven guilty of the crime of money laundering faces a rigorous prison sentence of at least three years and a maximum of seven years, as well as a fine of up to five lakh rupees. Additionally, it is stated that the crime proceeds involving money laundering that are connected to offences such supporting the waging of war against the Government of India or attempting to do so will be penalised with up to 10 years in prison.
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