ED investigation revealed that Raj Kumar Jain entered into criminal conspiracy with the officers of STC to finance M/s Priyanka Overseas Ltd. for export of wheat and rice in violation of the guidelines of the STC and caused wrongful loss to STC to the tune of Rs52 Crore
FinTech BizNews Service
Mumbai, March 23, 2025: In a significant move to restore the Proceeds of Crime (POC) to rightful claimants, the Directorate of Enforcement (ED), Delhi Zonal Office has successfully restituted property having current market value of Rs. 10 Crore (approx.) to victims of offence of money laundering and rightful claimants in the case of M/s Priyanka Overseas Pvt Ltd & others being investigated by ED, as per the press release issued by the ED. ED initiated investigation on the basis of an FIR registered by CBI, New Delhi bases on the complaint filed by State Trading Corporation (STC) against Raj Kumar Jain and officers of STC for commission of offence under various Sections of IPC,1860 and the Prevention of Corruption Act, 1988.
ED investigation revealed that Raj Kumar Jain entered into criminal conspiracy with the officers of STC and various others persons to finance M/s Priyanka Overseas Ltd. for export of wheat and rice in violation of the guidelines of the STC. By hatching this conspiracy M/s Priyanka Overseas Ltd caused wrongful loss to STC to the tune of Rs. 52 Crore. During the investigation, the ED issued Provisional Attachment Order, attaching property (to the extent of 50%) situated at House No.- 71, Block-B, Pocket-10, Sector-13, Dwarka, New Delhi- 110045 and the same was confirmed by Ld. Adjudicating Authority vide order dated 12.09.2018. Prosecution Complaint in the case against R K Jain and others was filed on 10.12.2018 before the Hon’ble Special Court (PMLA) and cognizance has been taken by the Hon’ble Court.
During investigation it was found that the said property was mortgaged with the City Union Bank against a credit facility amounting to Rs. 9 Crore availed by Raj Kumar Jain and others. Upon filing of Application before Hon’ble High Court of Delhi by City Union bank, the Court vide order dated 18.12.2024 directed ED for restitution of attached properties to City Union Bank. Subsequent to the order of the Hon’ble High Court of Delhi, the claimant bank filed an application u/s 8(8) of PMLA before Special Court (PMLA).
On 10.03.2025, considering the intent of PMLA to restitute/ restore the Proceeds of Crime (POC) to bonafide legitimate claimants and victims of the offence of money-laundering, the ED submitted no objection before the Hon’ble Special Court for the release of property provisionally attached by ED to the bonafide legitimate claimants and victims of the offence of money-laundering in the matter. Based on the afore-said submission of ED, the Hon’ble Special Court was pleased to pass an order to restitute the attached immovable properties to the bonafide legitimate claimants i.e City Union Bank in this case. The restitution of the properties to the rightful claimant and victim marks a significant step in the ED's ongoing efforts to ensure that the POC are returned to those affected. The ED continues to uphold its commitment to combating financial crimes and ensuring justice for victims of such crimes.
