ED attaches Rs 3,400 crore assets linked to Pearl group, promoter

NEW DELHI: As further action in a money laundering probe, Enforcement Directorate has attached properties worth over Rs 3,400 crore linked to Pearl Agro Corporation Ltd (PACL) and its promoter Nirmal Singh Bhangoo in Ludhiana. The latter had allegedly collected over Rs 48,000 crore from investors through a multi-level marketing scheme and laundered the proceeds to buy properties in India and overseas. The total attachment in the case now exceeds Rs 5,600 crore, including some properties in Australia.

"Investigation revealed that part of the funds mobilised from lakhs of investors were utilised for the acquisition of these 169 properties, currently valued at Rs 3,436.56 crore, in the name of PACL," ED said on Thursday. The agency has filed three chargesheets in the case so far.

Earlier in March, ED had arrested Bhangoo's son-in-law Harsatinder Pal Singh, who was allegedly behind laundering the proceeds of crime and buying properties worth over Rs 460 crore in Australia, later attached by ED.

ED's probe is based on an FIR registered by CBI against PACL, Nirmal Singh Bhangoo and others for their alleged involvement in fraudulent investment schemes.

Last year, ED had initiated restitution proceedings to return their lost money to nearly six crore investors. ED had then said it has shared details of Rs 700 crore worth of attached assets of Pearl Agro group with Justice Lodha committee, the panel appointed by SC to administer the disposal of confiscated assets in the case & restitution of funds to the victims.

The Security and Exchange Board of India had earlier banned the Pearl group for "illegally collecting Rs 49,100 crore from 59 million investors over 18 years".
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