New Delhi (The Hawk): In a Prevention of Money Laundering case related to the BS-IV car fraud, the Enforcement Directorate (ED) announced on Wednesday that it had attached properties worth Rs 22.10 crore from companies, adding that Ashok Leyland's involvement was also under investigation.
The properties are owned by companies linked to J.C. Prabhakar Reddy, a former Andhra Pradesh TDP legislator, and his companies, Diwakar Road Lines and Jatadhara Industries Pvt Ltd. and members of the Reddy family, Gopal & Co.
The Supreme Court had ruled in 2017 that as of April 1, 2017, no manufacturer, dealer, or registering authority could sell any automobiles in India that did not meet the BS IV emission standards.
Nevertheless, C. and Jatadhara Industries Pvt Ltd (JIPL) In violation of the aforementioned Order, Gopal Reddy and Co. bought BS-III vehicles at a discount from Ashok Leyland Ltd. and then fraudulently registered them as BS-IV vehicles by falsifying the invoice documents. According to an investigation, some of the registrations were made in Andhra Pradesh, Nagaland, and Karnataka.
The crime gains from owning and selling these vehicles have been estimated at Rs 38.36 crore, the ED said. "The ED has obtained evidence in the shape of fake bills from RTO officials in Nagaland and real invoices provided by Ashok Leyland as scrap for some vehicles."
The inquiry and searches led to the attachment of 68 different immovable properties worth a combined total of Rs 15.79 crore and Rs 6.31 crore in movable assets belonging to the accused and their families. These assets included bank balances, cash, jewellery, and receivables.
Additional research was being done, including a look at Ashok Leyland's involvement in the overall fraud.
(Inputs from Agencies)