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The PMLA court denies Hasan Mushrif's request for pre-arrest bail.
Tuesday, the special PMLA (Prevention of Money Laundering Act) court denied NCP leader Hasan Mushrif's request for anticipatory bail in relation to the Enforcement Directorate's (ED) money-laundering investigation into a private sugar plant run by his sons.
MUMBAI: On Tuesday, the special PMLA (Prevention of Money Laundering Act) court denied NCP leader Hasan Mushrif's request for anticipatory release in relation to the Enforcement Directorate's (ED) money-laundering investigation into a private sugar plant run by his sons. However, Mushrif cannot be detained by the ED because the special court prolonged his earlier temporary protection from detention until April 14.
Mumbai, India - March 14, 2023: NCP MLA and former state minister Hasan Mushrif visited the Enforcement Directorate (ED) office on Tuesday, March 14, 2023, and the agency registered a "money-laundering" investigation against him. (Image courtesy of Hindustan Times/Satish Bate) Indian Express
While rejecting Mushrif's appeal, special judge M G Deshpande noted that money was gathered from farmers and routed to businesses owned by his sons, which was nothing more than placement, layering, and integration of the allegedly illegally obtained funds. The court further stated that the petitioner was a powerful individual who could be able to sway witnesses and tamper with evidence because some of it was in the possession of Mushrif's employer, the Kolhapur District Cooperative Bank Ltd (KDC Bank).
a previous chairman. The court stated, "...Ever since the applicant was questioned, his employees have filed hundreds of petitions in the ED office to obstruct the investigation, which is significant. The investigation into money laundering at Mushrif's three sons' company, M/s Sar Senapati Santaji Ghorpade Sugar Factory Limited (M/s SSSGSFL), is the subject of the case. The ED asserts that Mushrif and his family set up numerous networks of businesses owned by family members and close friends, via which share capital was initially introduced into M/s SSGSFL.
Mushrif and his family later used the monies obtained from farmers and transferred them to the aforementioned shell firms to purchase the shares from the paper companies. According to the ED, farmers were persuaded to contribute 10,000 each, and as a result, Mushrif's family was able to make 37 crore. However, Mushrif and his family constructed shell companies and distributed shares in M/s SSFSGL to them rather than giving them shares. Additionally, money was put into two businesses that the Registrar of Companies had struck off. The money from the shell firms was subsequently transferred to further shell companies, which used it to buy M/s SSGSFL shares.
The ED further said that Mushrif abused his position as chairman of the Kolhapur District Central Cooperative Bank by giving loans totaling more than a billion rupees to M/s SSGSFL and M/s Brisk Facilities (Sugar Division) Pvt Ltd. However, Mushrif has insisted that he is unrelated to the private sugar business and that the prosecution was brought about by political retaliation.