The Enforcement Department (ED) has arrested Villayutham, a smuggler based out of Rameswaram, who is consistently indulged in smuggling of Sea cucumbers, a marine species protected under schedule 1 of Wildlife Protection Act, 1972 under the Prevention of Money Laundering Act (PMLA), 2002.
On the basis of many FIRs filed by the Tamil Nadu Police and Wildlife Authorities under various provisions of the Wildlife Protection Act, ED has begun an inquiry into money laundering.
Villayutham was produced before the Special Court for Prevention of Money Laundering Act, Madurai and the court has granted ED custody for 8 days.
In order to stop money laundering and make provisions for the confiscation of property obtained via money laundering, the government of India passed the Prevention of Money Laundering Act, 2002, through the Indian Parliament.
The PMLA investigation has shown that Villayutham used the business entities he floated, including M/s. VVN Sea Foods, M/s. VV Agency, M/s. Hotel Raamajayam, M/s. VV Sea Shell Mart, M/s. VVI Dry Fish Process, and M/s Hotel Raamajayam Restaurant, as a front for projecting the proceeds from the illegal smuggling activities as legal business income over time.
The accused had placed the proceeds of smuggling activities in the form of cash, totalling to several Crore, in the bank accounts maintained in the names of himself, his wife, his children and other business organisations established by them.
The accused used the proceeds of his crimes to repay loans totaling several Crores that he had taken out for a variety of reasons, including loans obtained in the names of his business entities, loans used to buy numerous movable and immovable properties, including a hotel, exorbitant tuition for his children’s medical college education, and operating expenses for his business entities.
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