The Enforcement Directorate (ED) provisionally attached properties worth Rs 538.05 crore in the case involving Jet Airways (India) Ltd (JIL) and its founder Naresh Goyal. However, the ED’s investigation revealed that the total proceeds of crime amounted to Rs 5,716.34 crore.
The ED had initially filed a case based on a complaint by Canara Bank, alleging a wrongful loss of Rs 538.62 crore during 2011-19. As a result, the ED limited the proceeds of crime mentioned in the current chargesheet to this amount.
The agency has requested the court under the Prevention of Money Laundering Act (PMLA) for permission to file additional chargesheets if they discover further evidence with international implications.
The ED’s investigation found that JIL and its founder, Naresh Goyal, had misused public funds. Despite facing financial difficulties, the company continued to spend on professional consultants and general sales agents, even when they didn’t contribute to revenue.
The ED also uncovered that funds obtained from various banks as loans were diverted for personal expenses of the Goyal family, high commissions for general sales agents, and loans to related parties, which were later written off. This resulted in the company’s loan accounts becoming non-performing assets (NPAs).
The ED alleges that JIL used a similar approach for all consortium loans, leading to a total of Rs 5,716.34 crore as the proceeds of crime, originating from criminal activities related to scheduled offenses committed by JIL and its promoters.
Since money laundering is a continuing offense with international implications, the ED believes that more evidence against the accused may surface during further investigation and has sought permission to file additional prosecution complaints.