IREO Group’s Lalit Goyal held for money laundering
In the first arrest in the Pandora Papers’ probe, the Enforcement Directorate (ED) on Tuesday arrested Lalit Goyal, the Managing Director of IREO Group of companies, under the Prevention of Money laundering Act (PMLA) in a case worth nearly Rs 2,600 crore related to cheating and siphoning of funds of home buyers/ investors and others.
The ED initiated money laundering investigation on the basis of FIRs registered at Panchkula by Haryana Police, FIR of the Economic Offences Wing, Delhi and FIR registered at police station Hauz Khas, Delhi, against IREO Private Limited, IREO Fiveriver Private Limited, Lalit Goyal and others.
“The modus operandi adopted by the group includes routing of funds from various entities based in tax haven countries like British Virgin Islands (BVI), Mauritius etc, diversion of funds by way of buy back of equity shares, recording of fictitious expenses in the books of accounts, writing off project in progress, loans and advances to sister concerns and round tripping of funds through shell companies. Total funds involved are over Rs 2,600 crore, part of which are proceeds of crime,” the ED said in a statement.