Synopsis
On March 23, the ED provisionally seized 24 properties worth Rs 8.02 crore linked to the Railway Claims Tribunal scam in Patna, aiming for asset confiscation and the prosecution of accused individuals involved in money laundering.Key Takeaways
- ED attaches 24 properties worth Rs 8.02 crore.
- Involvement of multiple advocates in the RCT scam.
- Allegations include money laundering and fraud.
- Initial investigation led by CBI and ACB.
- Significant funds misappropriated from claimants.
Patna, March 23 (NationPress) The Enforcement Directorate (ED) has provisionally attached 24 immovable properties valued at Rs 8.02 crore and submitted a prosecution complaint, aiming for the confiscation of these assets and the conviction of those implicated in the Railway Claims Tribunal (RCT) scam in Patna.
This case involves serious allegations of extensive money laundering under the Prevention of Money Laundering Act (PMLA), 2002.
The Special PMLA Court in Patna has acknowledged the prosecution complaint.
The individuals accused in the complaint comprise advocates Bidyanand Singh, Parmanand Sinha, Kumari Rinki Sinha, Archana Sinha, Vijay Kumar, Nirmala Kumari, and M/s Harijag Business and Development Private Limited.
They are charged with money laundering linked to fraudulent actions in the RCT.
The case was originally probed by the Central Bureau of Investigation (CBI) and the Anti-Corruption Branch (ACB), Patna, under Sections 120-B (criminal conspiracy) and 420 (cheating) of the Bhartiya Nyaya Sanhita (BNS), 1860, alongside Section 7A of the Prevention of Corruption Act, 1988.
The scam centers around fraudulent death claim cases that were filed, processed, and resolved at RCT, Patna.
According to the FIR, a large part of the sanctioned compensation meant for claimants was illegally siphoned off by the conspirators.
The ED's investigation unveiled that Advocate Bidyanand Singh and his associates managed over 900 claims for which decrees/execution orders were issued by Judge R.K. Mittal.
The advocates illicitly opened and operated bank accounts under the names of claimants without their consent.
The signatures and thumb impressions of the claimants were misappropriated to channel the claim amounts into personal accounts or to withdraw cash.
Furthermore, the ED's investigation indicated that the advocates allegedly shifted funds from claimants' bank accounts into their own.
A total of Rs 10.27 crore was fraudulently diverted from the claimants' bank accounts to the personal accounts of the accused advocates.
The properties are situated in Patna, Nalanda, Gaya (Bihar), and New Delhi.
The investigation disclosed a complex scheme where the accused opened and managed bank accounts in the names of claimants without their awareness.
They exploited signatures and thumb impressions to redirect compensation amounts intended for accident victims into personal accounts.
A significant part of the sanctioned funds was misappropriated, with only a small fraction reaching the legitimate claimants.
The Special PMLA Court, Patna, acknowledged the prosecution complaint on Friday.
The ED is advocating for the confiscation of the attached properties.
This case reveals profound corruption within the judicial claims system, with the ED's actions signifying a robust stance against money laundering and financial fraud.
