Already, the Central Bureau of Investigation has also registered a case against GVK group for allegedly siphoning off Rs 705 crore from Mumbai International Airport Limited funds.

enforcement direcoratePTI/ Image for representation
news Raid Tuesday, July 28, 2020 - 17:02

The Enforcement Directorate (ED) on Tuesday conducted searches in Hyderabad on properties related to the GVK Group, in connection with the Mumbai International Airport Limited (MIAL) money laundering probe. Teams of ED personnel conducted searches at three locations in Hyderabad, apart from simultaneous searches at Mumbai and other places. The ED had filed a money laundering case against MIAL and others on July 12 to probe alleged irregularities to the tune of Rs 705 crore in running the Mumbai airport.

The agency, which filed an enforcement case information report under the Prevention of Money Laundering Act (PLMA), is probing if genuine money was laundered to amass personal assets through illegal routing of funds.

Earlier this month, the Central Bureau of Investigation (CBI) had registered a case against GVK for the alleged siphoning off Rs 705 crore from Mumbai International Airport Limited funds through bogus contracts and underreported revenues. It also alleged misuse of reserves for the holding company; as the management reportedly allotted premium retail spaces to family and relatives at lower rates besides booking "exuberantly expensive" air and train travel for employees and those close to senior authorities of GVK Holdings.

It booked GVK Holdings, its founder Gunupati Venkata Krishna Reddy, his son Venkata Sanjay Reddy, Managing Director of MIAL along with eight other persons, including public servants of the Airport Authority of India (AAI) on charges of cheating and forgery.

MIAL is a joint venture under public-private partnership (PPP) between GVK Airport Holdings Limited and AAI besides other investors.

On June 27, when the CBI registered a case under PMLA, the MIAL in a statement last week said, “MIAL would have provided every assistance had the agency sought explanation or any document even if a preliminary enquiry had been initiated. MIAL is a transparent and responsible corporate entity which is committed to cooperate with the agency in its investigation to arrive at the truth.”

With IANS inputs

 

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