2G Scam: Enforcement Directorate(ED) files charge sheet against Raja, Kanimozhi Friday April 25,2014

The Enforcement Directorate on Friday April 25,2014  filed a “prosecution complaint” before a Delhi court against the former Telecom Minister, A. Raja, Dravida Munnetra Kazhagam MP K. Kanimozhi and DMK chief M. Karunanidhi's wife Dayalu Ammal, among others, for money laundering in the 2G spectrum allocation case. 

The complaint, which names a total of 19 accused, including nine companies, was filed before Special CBI judge O.P. Saini, who fixed it for consideration on April 30. All the 19 accused have been charged with money laundering under the Prevention of Money Laundering Act, which is punishable with a maximum jail term of seven years.

The ED chargesheet under the Prevention of Money Laundering Act (PMLA) alleges that the DMK-run Kalaignar TV was paid Rs 200 crore by the Swan Telecom promoters. 

Investigation also suggests that the amount was allegedly paid to Kalaignar TV by Swan Telecom Pvt Ltd (STPL) promoters Shahid Usman Balwa and Vinod Goenka, using their group entity Dynamix Realty through Kusegaon Fruits and Vegetables Pvt Ltd (KFVPL) and Cineyug Films Pvt Ltd (CFPL) in the garb of legitimate financial transactions like loans

The chargesheet said the amount of Rs 200 crore, allegedly paid on behalf of Raja in lieu of illegal favours given to STPL for grant of spectrum licence, was repaid with additional money to show it was a legal transaction.

"Whereas in fact this payment was illegal gratification for and on behalf of A. Raja and his associates in lieu of illegal favours given to STPL for grant of UAS Licence. Investigation, as aforesaid, has further revealed that the return of Rs 200 crore has been done along with the additional amount in order to show this illegal payment in the guise of legal and bonafide financial transactions,"

The ED in its charge sheet also named -

• DMK chief M. Karunanidhi’s wife Dayalu Ammal

• Swan Telecom Pvt. Ltd. (STPL) promoters Shahid Usman Balwa and Vinod Goenka

 as accused in the case in which it alleged that Rs. 200 crore was paid by STPL promoters to DMK-run Kalaignar TV. 

The final report names 10 individuals and 9 companies as accused in the case and the ED has chargesheeted them for the offence of money laundering under the provisions of Prevention of Money Laundering Act (PMLA). 

• Directors of Kusegaon Fruits and Vegetables Pvt. Ltd.-Asif Balwa and Rajiv Aggarwal

• Bollywood producer Karim Morani and

•  Kalaignar TV Managing Director Sharad Kumar

 have also been named as accused in the case

The ED’s charge sheet was filed before Special CBI Judge O.P. Saini by Special Public Prosecutor Naveen Kumar Matta who said that the agency has investigated the “flow of funds” and they have found that money was laundered by these accused persons. 

The judge fixed the charge sheet for consideration on cognizance for April 30,2014

Note

• Former Telecom Minister A Raja 
• DMK MP Kanimozhi
• Directors of Kusegaon Fruits and Vegetables Pvt. Ltd.-Asif Balwa and Rajiv Aggarwal
• Shahid Balwa
• Vinod Goenka 
• Karim Morani and
• Kalaignar TV Managing Director Sharad Kumar

are also facing trial in the 2G scam case in which CBI had earlier filed charge sheets