The Enforcement Directorate (ED) has attached assets worth over Rs 1,023 crore in India and Singapore in connection with its money laundering probe into alleged illegal iron ore mining in Goa involving the Salgaocar Group and its associates, collectively referred to as the AVS Group.
The attachment includes movable and immovable assets linked to the group as part of the investigation under the Prevention of Money-Laundering Act (PMLA), 2002.
According to the ED, a total of 130 assets have been attached, including 99 immovable properties in India valued at Rs 459.10 crore, 31 immovable properties in Singapore worth Rs 471.32 crore, and equity shares in Indian companies valued at Rs 93.42 crore.
In a statement, the ED said, “The attached assets comprise 99 immovable properties situated in India worth Rs 459.10 crore, 31 immovable properties situated in Singapore worth Rs 471.32 crore and equity shares in Indian companies valued at Rs 93.42 crore.”
The assets are held in the names of the Estate of late Anil Vassudeva Salgaocar, represented through its administratrix Lakshmi Anil Salgaocar, and several group-linked entities.
These entities include Salgaocar Mining Industries Pvt Ltd, Shantilal Khushaldas and Brothers Pvt Ltd, S Kantilal and Co Pvt Ltd, Salitho Ores Pvt Ltd, Vertex Newton Projects Pvt Ltd and Subarnarekha Port Pvt Ltd.
The attachment was carried out by the ED’s Panaji Zonal Office following an attachment order dated June 19.
The agency said its investigation began after an FIR registered by the Goa Crime Branch CID under provisions of the Indian Penal Code, the Prevention of Corruption Act and the Mines and Minerals (Development and Regulation) Act.
The ED referred to earlier Supreme Court judgments dated April 21, 2014, and February 7, 2018, which held that mining activities in Goa carried out after November 22, 2007, until the grant of fresh mining leases, were illegal and without lawful authority.
ED alleges Rs 5,237 crore proceeds of crime
According to the agency, the AVS Group operated ten mining leases between 2007 and 2012 and allegedly generated proceeds of crime amounting to Rs 2,492.95 crore through illegal extraction, sale and export of iron ore.
“The illegally mined ore was exported at grossly undervalued prices to shell entities incorporated in the British Virgin Islands, which acted as mere paper intermediaries and resold the ore to China,” the ED alleged.
The agency further claimed that the arrangement generated offshore trade profits of around Rs 2,744.89 crore, taking the total alleged proceeds of crime to Rs 5,237.84 crore.
“These funds were layered through BVI and Singapore-based SPVs, utilised to acquire substantial movable and immovable assets abroad, and partly routed back into India in the guise of share capital,” the ED said.