ED Seizes Rs 7 Crore in Ongoing Probe Against Maharashtra Cooperative Society

The Enforcement Directorate (ED) has seized financial investments worth Rs 7 crore during a probe against Dnyanraddha Multistate Co-operative Society Ltd. and its promoter, Suresh Kute. The raids, conducted in Maharashtra, Gujarat, and Delhi, revealed a scam involving Rs 168 crore. Alleged fraudulent practices were committed to embezzle funds from investors.

The Enforcement Directorate (ED) announced Monday the seizure of financial investments totaling Rs 7 crore in an ongoing investigation against a Maharashtra-based cooperative society alleged to have defrauded multiple investors.

Raids were carried out on September 20-21 in Jalgaon, Maharashtra, Ahmedabad, Gujarat, and Delhi as part of the probe against Dnyanraddha Multistate Co-operative Society Ltd. (DMCSL), its promoter Suresh Kute, and others, according to an ED statement.

The ED's money laundering case stems from several FIRs filed by the Maharashtra Police for an alleged fraud of Rs 168 crore by Suresh Kute and others through DMCSL.

DMCSL, led by Suresh Dnyanobarao Kute and Yashvant V Kulkarni, promised high returns through deposit schemes to attract gullible investors. The management embezzled funds for personal gain by creating a criminal conspiracy.

Suresh Kute, with Dibyayan Das Sharma, fabricated documents claiming Rs 10,000 crore funding from Minventa Research, Luxembourg, preventing investors from legal action against DMCSL with false assurances of repayment.

These documents were also used in judicial fora to misleadingly portray the Kute Group as financially stable. The ED froze Rs 7.5 crore in bank funds, fixed deposits, and demat account holdings, seizing incriminating documents and digital devices.

The agency had previously conducted raids in August, freezing assets worth Rs 1.73 crore.