CNBC-TV18 learns from sources that the Enforcement Directorate (ED) is in the process of finalising chargesheets against the key accused in the 2G scam. In fact the first chargesheet is likely to name Shahid Balwa, DB Realty and A Raja. The second chargesheet that is the supplementary chargesheet is likely to name Unitech.
In the case against Unitech, Enforcement Directorate says that USD 51 million was remitted from India to Unitech Overseas Limited, which is the holding company for Unitech’s overseas investments. This money was remitted for advance for share application but before the shares were allotted, sources add. This money was invested in a Rabobank Yield Enhancement Certificate for duration of one year. In fact, the decision to make that investment was made even before the amount was remitted from India.
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The ED has said that this decision was not supported by a Unitech board resolution and Unitech Overseas Limited did not have any requirements for funds for business development. Also, the Yield Enhancement Certificate was backed by the performance of Pluri Emerging Company, which has been named in other ED cases against ADAG and the Jagan Reddy case.
The ED report says that the money was remitted in the guise of equity for Unitech Overseas Limited. The report adds that a huge amount vanished without leaving trace one day before the final day of the 2G scam conspiracy because the Rabobank Yield Enhancement Certificate expired worthless. The ED has also found that the beneficial ownership of that bond was with the person close to A Raja.
The ED has written to the UK government seeking some final evidence and once that is in, it will be filling this chargesheet and finalising the case against DB Realty and Shahid Balwa - the case is against remittance of Rs 200 crore to Kalaignar TV. Unitech has completely denied the allegation and said that it has no investments in UK bonds.
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