Kannauj-based perfume trader Piyush Jain was in for more trouble as the Enforcement Directorate (ED) initiated proceedings against him under the Prevention of Money Laundering Act.
Lucknow-based zonal office of the ED has registered a money-laundering case against Jain on the basis of an FIR lodged by Director General of GST Intelligence (DGGI) and the Department of Revenue Intelligence (DRI).
As per sources, the ED may soon start raids on the establishments and offices of Jain spread across the country. After the investigation, preparations are also being made to attach Jain’s “illegal” properties.
According to the sources, the ED has already started probing Piyush Jain’s benami properties. In December last year, the DGGI had raided the premises of Piyush Jain, in which Rs 197 crore in cash and 23 kg gold were recovered.
The Directorate General of GST Intelligence, Ahmedabad, had conducted raids at the residences of Piyush in Kanpur and Kannauj and made huge seizures. After getting foreign gold, the DRI also registered an FIR against Jain.
After recovering the money and gold from Jain’s residence, the DGGI accused him of tax evasion to the tune of Rs 31.50 crore.
It may be mentioned that in the raid last year, a sum of Rs 177.45 crore in cash was recovered from Jain’s residence in Kanpur and Rs 19 crore in cash, 23 kg foreign gold and 600 litres of sandalwood oil worth about Rs 6 crore from his Kannauj residence.
Soon afterwards, the Bharatiya Janata Party leaders highlighted Jain’s closeness with Samajwadi Party chief Akhilesh Yadav and raised the issue of corruption during the recently-concluded assembly elections. However, Jain was later released on bail only on the conditions that he would submit his passport, not leave the country without the permission of the trial court, and not tamper with the evidence etc, or else the bail would be cancelled.