According to ED, cash deposits of Rs 84.5 crore were found in the account of one Messrs. Pihu Gold and Messrs. Satnam Jewels within 41 days after demonetization of Rs 1,000 and Rs 500 notes on November 8 last year.
These funds were later transferred to another account of Pushpak Bullions and used to purchase 258 kg gold bullion.
Earlier, the Pushpak Bullion's bank account was already declared as a 'non-performing asset' by the concerned bank.
Investigations by the ED revealed that the involved companies did not have matching economic wherewithal to enter into such transactions and subsequently layering them through gold bullion investments.
Patel has been found to be the mastermind of this money-laundering scam and was arrested under the Prevention of Money Laundering Act, while further probe is underway.
(This story has not been edited by Social News XYZ staff and is auto-generated from a syndicated feed.)
About VDC
Doraiah Chowdary Vundavally is a Software engineer at VTech . He is the news editor of SocialNews.XYZ and Freelance writer-contributes Telugu and English Columns on Films, Politics, and Gossips. He is the primary contributor for South Cinema Section of SocialNews.XYZ. His mission is to help to develop SocialNews.XYZ into a News website that has no bias or judgement towards any.