A day after conducting searches at the offices and residences of Tamil Nadu Higher Education Minister K Ponmudy, the Enforcement Directorate has alleged that they have recovered unaccounted cash amounting to Rs. 81.7 lakh, along with unexplained foreign currency primarily in British pounds equivalent to approximately Rs.13 lakhs from the residence of Ponmudy.
In a press release, the ED has also claimed that in order to mislead the probe, a claim was made by Ponmudy that the cash belonged to a family-owned hospital and an attempt was made to falsify accounting records. “A corroborating statement attesting to the above facts was obtained from one concerned person. Thus, there is no plausible explanation for this unexplained cash seized from the residence of Ponmudy,” ED has alleged.
The ED also said that an amount of Rs. 41.9 crore, identified as direct proceeds of crime, has been frozen under Section 17(1A) of the PMLA as it was held in the form of a Fixed Deposit.
The ED also repeated the allegation it made in 2020 after raids on Ponmudy’s son Gautam Sigamani, a Member of Parliament of funneling money through two companies. In 2020 and 2023, the ED has named two companies PT Excel Mengindo in Indonesia and M/s Universal Business Ventures FZE in the UAE, that were acquired by Gautam Sigamani. The Indonesian company, which was shown to have been purchased for a nominal amount of Rs. 41.57 lakh, was reportedly later sold for over Rs. 100 Crore in 2022. ED says it suspects that huge amounts of cash was transferred through hawala to purchase these overseas entities.
On July 17, the Enforcement Directorate conducted searches at seven locations connected to Tamil Nadu Higher Education Minister K. Ponmudy, and his son, in connection with the mining scam that took place during 2007-2011 while he was holding the portfolio of Minister of Mines and Minerals in the previous DMK government.
It may also be recalled that in 2020, Ponmudy’s son Gautham Sigamani came under the ED’s scanner and the ED attached property worth Rs 8.6 crore belonging to him. He was accused of illegal acquisition and non-repatriation of foreign exchange earned abroad. Agricultural lands, commercial and residential buildings in Tamil Nadu and bank accounts and shares worth Rs 8.6 crore were found to be held by Gautham.