The Enforcement Directorate on Thursday, raided multiple premises linked to erstwhile Religare promoters, brothers Malvinder Mohan Singh and Shivinder Mohan Singh, and others in connection with a money laundering case, agency officials said.
They said the raids were conducted at seven locations in Delhi including those connected to the Singh brothers and others on the information from ECIR the and police equivalent of a case, was filed by the agency. The ED is probing alleged misappropriation of over Rs 2,397 crore funds in this case and is probing companies like Arch Finance Ltd and RHC limited, officials said.
Religare Enterprises Limited is the holding company for one of India's leading diversified financial services groups, headquartered in New Delhi, India. It offers an integrated suite of financial services through its underlying subsidiaries and operating entities, including Loans to Small and Medium Enterprises.
The relationship between the Singh brothers, also the erstwhile promoters of Fortis and Ranbaxy, turned sour after allegations of fund diversion from the healthcare chain emerged apart from other charges of financial impropriety.
Shivinder had offered to pay his share of the 3,500 crore award to the Japanese drug maker in a dispute related to the acquisition of Ranbaxy Laboratories.
The ED was also involved in the probing of the Coal Scam, wherein, the ED alleged that "in order to encash the artificially created rise" in their share value, the company issued 62,50,000 preferential shares on premium of Rs 180 per share and sold these shares to five selected companies and in the process generated Rs 118.75 crore in the form of share capital but after several orders and issues the probe resulted in nothing more than a disaster yet made a lot of news. The same chain of incident happened during the probe done on the Former ICICI Bank CEO Chanda Kochhar, where Chanda Kochhar, despite being asked to depose before the ED kept on skipping the summons time and again.
It remains to be seen whether this time the Enforcement Directorate be able to sneak out some of the hidden facts and information and do justice to their operations or will this case also succumb like others did.