New Delhi [India], July 7(ANI): The Directorate of Enforcement (ED), Jaipur Zonal Office, conducted search operations on Friday at several locations in Jaipur and Kota districts of Rajasthan under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, in the case of the Debock Industries Ltd (DIL) Scam, said the release.

https://x.com/dir_ed/status/1942196032122826765

The searches have been conducted at the residence and office of the Chairman, i.e. Mukesh Mahavar alias Mukesh Manveer Singh of Debock Industries Limited (a NSE-listed company), and his associates.

ED initiated an investigation based on an FIR registered by the Rajasthan Police against Abhishek Khandelwal, Najiya Bano and others, and a Prosecution Complaint filed by the SEBI against Debock Industries Limited, Mukesh Manveer Singh, Sunil Kalot and Priyanka Sharma. The company undertook a rights issue of shares in June 2023 and collected a sum of Rs 49.09 Crore.

As per the release, during the PMLA investigation, it was discovered that these individuals had inflated share prices and cheated gullible investors for their personal gain. DIL manipulated its financial statements, submitted false bank accounts, reported fake sales and purchases, did round-tripping of funds and migrated to the main board of the National Stock Exchange for the issuance of rights shares.

Further, the entire proceeds collected from the issue of rights that should have been used for legitimate business purposes have been siphoned off by the promoters and their associates.

During the search operations, it was discovered that the suspects had appointed their low-level employees as Directors to mislead the stock exchanges. Furthermore, prima facie, it is found that the Directors had siphoned off monies to overseas entities, diverted this money, and invested in real estate.

Furthermore, the ED has seized Rs. 78 lakh in unaccounted cash, along with four high-end luxury cars, including a Rolls-Royce Phantom, a Bentley Mulsanne, a Mercedes-Benz G-Wagon (Brabus), and a Toyota Land Cruiser.

During the search, various incriminating documents related to investments in properties, banking records, and digital devices have been seized.

Further investigation is under progress. (ANI)