Commercial vehicle manufacturer Ashok Leyland on November 30 clarified that the ED investigations pertaining to the alleged BS-III scam is against the third party scrap customer and not the company.
The clarification came in response to media reports saying that the ED had started probing Hinduja Group flagship's alleged role in selling BS-III vehicles to two companies at discount price, in violation of the Supreme Court order.
The company's spokesperson told CNBC TV18 that, "This matter reported seems to be pertaining to an old investigation from the year 2020 -2021. The investigation is not against Ashok Leyland, but against a third party scrap customer."
"We have submitted all documents and details as required by the ED pertaining to this matter, which clearly establishes that we are not implicated in any manner. Ashok Leyland is compliant with all emission requirements," the spokesperson added CNBC TV18.
The Supreme Court had in 2017 ordered that vehicles which are only BS-IV-compliant can be sold in India by any manufacturer or dealer. The decision came due to the rising air pollution issues.
Even though the sale and registration of vehicles that did not meet the then-latest BS-IV norms was banned from April 1, 2017, two companies — Diwakar Road Lines and Jatadhara Industries — reportedly bought some BS-III trucks from Ashok Leyland as scrap.
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The central agency said they have gathered fake invoices from Nagaland RTO authorities and original invoices issued by Ashok Leyland for some vehicles sold as scrap and is probing former MLA JC Prabhakar Reddy and Gopal Reddy and their companies for allegedly violating the Court's order.
Crime proceeds quantified at Rs 38.6 crore and properties worth Rs 22 crores in the name of companies of Prabhakar and Gopal Reddy were attached.
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