The Enforcement Directorate on Friday raided a number of premises linked to the Videocon Group in a cash laundering case in opposition to the corporate and its chairman Venugopal Dhoot. The case pertains to an alleged mortgage fraud by the group within the sale of an oil subject in Mozambique Africa.
“Currently raids are happening at a number of locations in Mumbai. An ED official mentioned, “We have proof that the corporate has diverted the mortgage cash.
The ED case is predicated on final yr’s CBI for. The CBI has registered a case in opposition to Videocon Industries Ltd Chairman Venugopal Dhoot for allegedly defrauding a consortium of banks led by Bank of India to the tune of tens of millions of US {dollars}. Along with Dhoot, the CBI has additionally registered a case in opposition to unidentified officers of the banks’ consortium on fees of corruption, dishonest and legal conspiracy.
The case pertains to an oil block in Mozambique, the place Videocon had pursuits and had taken a mortgage from Standard Chartered Bank in London. The mortgage was repaid by the SBI-led consortium in opposition to the belongings in Mozambique, however the consortium didn’t take cost of the belongings and Videocon continued to avail credit score services from the SCBs on the block. The block was finally bought in 2014 to Oil and Natural Gas (ONGC) Videsh Limited and Oil India Limited for USD 2,519 million.
The FIR was the results of the completion of a preliminary investigation that the CBI had earlier opened in opposition to unidentified officers of the Ministry of Petroleum and Natural Gas, ONGC Videsh, Oil India Limited, Bharat Petro Resources Limited and the consortium led by SBI Cap. PE had alleged that these entities “had colluded with the directors and promoters of M/s Videocon Mozambique Rovuma 1 Limited (VMRL), a subsidiary of M/s Videocon Hydrocarbon Holding Limited (VHHL) (a company registered in Cayman Estates)”. Intended to offer undue pecuniary benefit to Videocon Industries Limited (VIL).
According to CBI, preliminary investigation discovered that in 2008, VHHL acquired 10% taking part curiosity in oil and gasoline block in Rovuma subject 1 block Mozambique from M/s Anadarco (a USA based mostly petroleum firm). VHHL additionally had oil and gasoline belongings in Indonesia and Brazil.
In the month of April 2012, the consortium authorised a Standby Letter of Credit (SBLC) facility of USD 2,773.60 million to VHHL for the valuation and improvement of their abroad oil and gasoline belongings in Mozambique, Brazil and Indonesia, and different funding necessities. Approved. The CBI has alleged that SBLC facility of USD 1,103 million was refinanced, together with dues of USD 400 million to Standard Chartered Bank, London. “The first allegation on VIL’s oil and gas assets was a part of CSB security,” the CBI mentioned.
In February 2013, VIL knowledgeable the consortium that the debt of SCB had elevated from US$ 400 million to US$ 530 million and requested the consortium to pay the debt and take cost of the belongings. “The SBI-led consortium, without any verification/investigation, sanctioned and paid a loan of USD 530 million to SCB, London,” the CBI mentioned. VHHL.
“The SBI consortium in consortium with VIL did not allege the assets dishonestly to facilitate VHHL, which continues to avail the facility from SCB London backed by Mozambican oil and gas assets,” the CBI mentioned.
In November 2013, with the intention to receive lender NOC on the market of belongings to ONGC Videsh and OIL, VIL requested the consortium to pay the dues at SCB, London from the sale proceeds of the Mezambique asset. “The SBI-led consortium in conspiracy with VIL did not object to the fact that the dues at SCB, London have already been paid by the consortium in February 2013. It was agreed that the dues at SCB London should be paid should go and should not exceed USD 650 million,” the CBI has mentioned, however that over USD 700 million was paid to the SCB and nobody raised any flag.
The CBI has additionally accused VIL of diverting cash saying, “The investigation revealed that VIL had used the cash acquired from SCB for another function or to switch it to another accounts of Videocon or its promoters. was used. The investigation additional revealed that VIL spent solely USD 374 million, USD 554.83 and USD 25.25 million for oil and gasoline belongings of Mozambique, Indonesia and Brazil from the date of acquisition until December 2013, until December 2013, Against which VHHL took benefit of it. USD 1616 million facility.
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With inputs from TheIndianEXPRESS
