Mumbai: The Enforcement Directorate (ED) has arrested two more suspects in a money laundering investigation involving fraudulent bank accounts created using innocent people’s identities for hawala and suspicious transactions at Malegaon.
Mohsin Ahmed Mustakali Khilji and Sharif Miya Amirmiya Shaikh were arrested at Ahmedabad airport while attempting to escape to Dubai on Wednesday. Their arrest was facilitated by a lookout circular issued against them. The court has placed the arrested individuals in ED custody until Jan 8 following their production before the magistrate for regular remand.
The ED’s investigation stems from a police FIR against Malegaon businessman Siraj Ahmed Mohammad Harun Memon and his associates, who allegedly misused identity documents of innocent individuals to transfer illicit funds. Recently, the ED took Siraj Ahmed Mohammad Harun Memon, who was arrested by the police in the connected fraud case and was in jail, in its custody for interrogation and had conducted multiple searches in the case, and seized Rs 13.5 crore in tainted cash. The agency’s investigation uncovered illicit proceeds exceeding Rs 900 crore, which were channelled through various shell companies operated by the accused.
The ED said “Mehmood Abdul Samad Bhagad, alias Challenger King” is the mastermind behind the money laundering operation and he fled the country recently after the agency initiated its investigation.
The ED said that both the arrested suspects posed a flight risk, evidenced by their departure from India following searches at premises of case suspects Harsh Kanubhai Baira of Haresh Trading and Hardikkumar Solanki of Hardik Enterprise which were used for layering of tainted money. In November, Baira and Solanki provided statements confirming they established two entities under Gaurang Ganpat Parmar’s instructions and surrendered all banking documents to him.
According to the ED, Parmar established these entities following instructions from Ritesh Shah. The agency stated that Ritesh Shah, along with the two arrested accused Khilji, and Shaikh actively conducted transactions from those accounts while working for “Mehmood Abdul Samad Bhagad, alias Challenger King”.
The accused’s lawyer told the court that the two had recently visited Bangkok, returning on Nov 20 after the ED’s search of Solanki and Baira’s premises, and had been residing in their Ahmedabad residence since.
