LUCKNOW: The Directorate of Enforcement (ED) has seized a large volume of financial records, documents relating to suspected shell companies, alleged benami properties and transactions indicating possible layering of illicit funds during searches conducted at 11 locations across Uttar Pradesh in connection with a money laundering probe against former Jhansi MLA Deep Narayan Singh Yadav and others.The searches were carried out on Wednesday by the ED’s Allahabad Sub-Zonal Office under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, at premises in Jhansi, Lucknow and other locations in Uttar Pradesh.According to the ED, the money laundering investigation stems from an FIR registered by the Uttar Pradesh Vigilance Establishment alleging that Deep Narayan Singh Yadav amassed disproportionate assets worth around Rs 23.02 crore beyond his known sources of income during the check period.The central agency said its probe also drew upon multiple FIRs and charge sheets against the former legislator.According to the ED, more than 60 criminal cases have been registered against Yadav at police stations in Jhansi and other districts of Uttar Pradesh. These include allegations relating to dacoity, attempt to murder, extortion, attempt to commit culpable homicide, criminal breach of trust, cheating and forgery, several of which qualify as scheduled offences under the PMLA.The ED alleged that the former MLA generated substantial proceeds of crime through the alleged criminal activities and by abusing his political influence. Investigators suspect that the proceeds were subsequently laundered through a web of companies and investments to disguise their origin.According to the agency, the investigation has revealed that Yadav allegedly established a network of companies, including shell entities, to layer and integrate the alleged proceeds of crime before projecting them as legitimate assets. These investments were allegedly routed through business entities controlled by him, his family members and close associates.The ED further alleged that several movable and immovable properties were acquired in the names of associates and distant relatives using the suspected proceeds of crime and were projected as untainted assets.During the coordinated searches, investigators recovered and seized several incriminating records and documents, including papers relating to inter-company financial transactions, third-party agreements and financial records indicating suspicious transactions.Officials also seized documents pertaining to luxury assets allegedly held in the names of various business entities, family members and associates.Significantly, the ED said it found that certain companies existed only on paper and were not engaged in any genuine business activity, strengthening its suspicion that they were being used to facilitate the alleged laundering of funds.The agency also recovered documents relating to suspected benami immovable properties and records indicating the layering of alleged proceeds of crime through multiple entities and transactions.The ED said the investigation is continuing to trace the money trail, identify additional assets and ascertain the role of other individuals and entities allegedly involved in the suspected laundering network. Further investigation is underway.
