MSCB scam: ED attaches over Rs 78-cr assets of sugar mill linked to ex-Shiv Sena MLA

The ED on Friday attached assets worth Rs 78.38 crore of a Jalna-based sugar mill linked to former Shiv Sena MLA Arjun Khotkar in connection with a money laundering probe into the alleged Maharashtra State Cooperative Bank MSCB scam.Plant, machinery building and more than 200 acres of land belonging to the Jalna Sahakari Sakhar Karkhana SSK Ltd. located in Sawargaon Hadap village of the district have been attached after the agency issued a provisional order under the Prevention of Money Laundering Act PMLA.


PTI | New Delhi | Updated: 24-06-2022 19:15 IST | Created: 24-06-2022 19:15 IST
MSCB scam: ED attaches over Rs 78-cr assets of sugar mill linked to ex-Shiv Sena MLA
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The ED on Friday attached assets worth Rs 78.38 crore of a Jalna-based sugar mill linked to former Shiv Sena MLA Arjun Khotkar in connection with a money laundering probe into the alleged Maharashtra State Cooperative Bank (MSCB) scam.

Plant, machinery building and more than 200 acres of land belonging to the Jalna Sahakari Sakhar Karkhana (SSK) Ltd. located in Sawargaon Hadap village of the district have been attached after the agency issued a provisional order under the Prevention of Money Laundering Act (PMLA). ''The assets of Jalna SSK are currently held in the name of Arjun Sugar Industries Pvt. Ltd., a company incorporated by Arjun Khotkar and others on May 8, 2012 only with a view to purchase the Jalna SSK Ltd.'', the Enforcement Directorate said in a statement.

Sixty-year-old Khotkar has been a Shiv Sena party MLA from Jalna and has also served as a minister in the Maharashtra government. This money laundering probe stems from a August, 2019 FIR of the Mumbai police economic offences (EOW) wing. This police complaint was filed after the Bombay High Court issued an order on August 22 that year to investigate the allegations of selling sugar factories in the Maharashtra cooperative sector through alleged fraudulent means and that cooperative SSKs were sold at throw-away prices.

The ED probe found that the ''fraudulent mode and manner in which the bidding process was followed for sale of SSK and subsequent distribution of assets of SSK among family-based business entities of members of the MSCB indicates sale of SSK.'' ''Hence, the properties of the said SSK which includes government land of 100 acre, plant and machinery, building, structure which was acquired illegally (now owned by Arjun Sugar Industries Pvt. Ltd) are proceeds of crime.'' The agency said that the mill has remained closed since the sale.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

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