Sena MP's Role Emerging In Money Laundering Case: Enforcement Directorate

The Enforcement Directorate (ED) on Friday informed a special court in Mumbai that the role of Shiv Sena MP Bhavana Gawali in the money laundering case pertaining to alleged financial irregularities in certain trusts is emerging.

The ED made the claim during the remand hearing of Mr Gawli's aide Saeed Khan, whose custody with the probe agency has been extended further till October 5.

"A case of theft was filed by Bhavana Gawali in July 2020 for an offence that took place a year before. Her role is emerging in the money laundering case, which needs to be investigated," the ED told the court.

The ED was referring to an FIR registered at Risod police station in Washim district for cheating and criminal breach of trust.

The ED's case is based on the said FIR for alleged fraud worth Rs 18 crore and some linked irregularities.

Under the garb of filing the FIR, the accused were trying shield themselves, the probe agency claimed.

The probe agency further submitted that not one person, but several people are involved in the matter.

There are certain people who can be categorised as accused in the case and are coming to record their statement on Monday, and some witnesses have also been summoned, it said.

The ED further claimed that Mr Khan was avoiding its questions and trying to divert it.

Mr Khan was produced before a special PMLA court at the end of his initial remand on Friday, and his custody was extended by another five days for further probe into the matter.

Opposing the remand application, Khan's lawyer Inderpal Singh said the entire investigation was illegal and motivated to create incorrect record to save the accused named in the FIR.

The ED was protecting Ashok Gandole -- the trustees and accused named in the police FIR -- and his family, he alleged.

"Through their conduct, colour and character… they are using powerful machinery. They are challenging the probe done by the police, who are going to file a chargesheet against 12 accused, whom the ED is trying to protect," Singh said.

On the ED's arguments about forged documents, Singh said when there is no complaint of forgery, how can the ED investigate the case.

After hearing both sides, the special PMLA judge MG Deshpande said the statements of the accused indicates that remarkable progress has been made.

It discloses names of persons who were initially not found concerned with the case, the judge noted.

There is substance in the ED's contention that some persons revealed by Khan in his previous statements needs to be confronted, the court said.

Mr Khan was arrested under relevant provisions of the Prevention of Money Laundering Act (PMLA) on September 28 in a case of money laundering related to the alleged financial irregularities in certain trusts linked to Gawali, an MP from the Yavatmal-Washim Lok Sabha seat.

The probe agency had last month conducted searches at multiple premises in Yavatmal, Washim and Mumbai in this case.

The case is based on an FIR against some accused persons for alleged fraud worth Rs 18 crore and some linked irregularities.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)