The Enforcement Directorate on Friday conducted searches on the premises of Aman Hospitality Private Limited (AHPL), other companies of the Ambience Group, and its directors in connection with a bank fraud case.
The searches were carried out at seven locations in Delhi, including the residential premises of directors, Raj Singh Gehlot, Dayanand Singh, Mohan Singh Gehlot, and their associates.
The ED teams seized ₹16 lakh in cash and ₹24 lakh in foreign currency (€16,120, £5,115 and $6,302) from the house of Mr. Raj Singh Gehlot, said an official.
It is learnt that the statement of Mr. Gehlot is also being recorded under the Prevention of Money Laundering Act.
The ED probe is based on an FIR registered by the Jammu Anti-Corruption Bureau against AHPL and its directors for allegedly indulging in money laundering in the construction and development of the 5-star ‘Leela Ambience Convention Hotel’ located near the Yamuna Sports Complex in Delhi.
According to the agency, a significant portion of more than ₹800 crore taken in loans from a consortium of banks for the hotel project was siphoned off by AHPL, Mr. Gehlot and his accomplices, through a web of companies owned or controlled by them.
The funds were transferred by AHPL to several companies and individuals on the pretext of “payment of running bills and advance for supply of material/work executed”.
The employees of Ambience Group and the associates of Mr. Gehlot were made directors or proprietors of such companies and he was the “authorised signatory” in many of them.
However, no material was allegedly supplied and no work executed by these firms. Almost the entire amount was immediately routed back to the entities owned by Raj Singh & Sons (HUF) and his brother’s son, as alleged.
