The Enforcement Directorate (ED) has seized Rs 78 lakh in unaccounted cash and various digital devices during searches conducted against Punjab-based liquor firm Malbros International Private Limited and its former director Gautam Malhotra. Gautam is the son of former SAD MLA Deep Malhotra. The raids, which began on July 16, were carried out across seven locations in Punjab, Delhi, and Madhya Pradesh.
The enforcement action stems from a money laundering case linked to a criminal complaint filed by the Punjab Pollution Control Board. The complaint alleged that Malbros International Private Limited violated several sections of the Water (Prevention and Control of Pollution) Act, 1974, by contaminating soil and groundwater around its factory premises in Ferozepur. This complaint was lodged in the Court of Chief Judicial Magistrate, Ferozepur.
According to an ED statement, the company discharged industrial effluent into bore-wells illicitly installed at its Ferozepur unit, leading to severe soil and water contamination. The pollution reportedly posed significant public health risks and caused cattle deaths in the surrounding areas.
“Money generated through environmental crime has further been used for business activities of the company,” the ED alleged. The agency emphasized that the company’s actions not only harmed the environment but also involved financial malfeasance by using illicitly obtained funds for business expansion.
The searches resulted in the recovery of digital devices, incriminating documents, and unaccounted cash totaling Rs 78.15 lakh.
The issue of environmental contamination by Malbros International Private Limited had previously sparked public outcry. In January 2023, Chief Minister Bhagwant Mann had ordered the immediate closure of the factory following protests by locals and farmers against the firm. The factory’s operations had become a focal point of community agitation due to the severe health hazards posed by its pollution.
Further complicating matters for the company and its former director, Gautam Malhotra was arrested by the ED in February last year in connection with the Delhi excise policy-linked money laundering case. This arrest, along with the recent seizures, highlights a pattern of alleged financial misconduct associated with Malhotra and the company.
The ED's investigation into Malbros International Private Limited and Gautam Malhotra is ongoing, with further scrutiny expected to uncover additional details about the extent of the alleged financial and environmental crimes.
