Active Stocks
Thu Mar 28 2024 15:59:33
  1. Tata Steel share price
  2. 155.90 2.00%
  1. ICICI Bank share price
  2. 1,095.75 1.08%
  1. HDFC Bank share price
  2. 1,448.20 0.52%
  1. ITC share price
  2. 428.55 0.13%
  1. Power Grid Corporation Of India share price
  2. 277.05 2.21%
Business News/ Politics / Policy/  NSEL scam: ED attaches Rs278 crore oil factory in Gujarat
BackBack

NSEL scam: ED attaches Rs278 crore oil factory in Gujarat

Enforcement Directorate says factory in Kadi of Mehsana district belongs to N K Proteins, a defaulting firm in the scam

ED has so far attached total assets to the tune of over `700 crore of defaulting firms in this case. Photo: Mint (Mint)Premium
ED has so far attached total assets to the tune of over `700 crore of defaulting firms in this case. Photo: Mint
(Mint)

Ahmedabad: Enforcement Directorate (ED) on Thursday attached a Gujarat-based castor oil extraction plant worth over 278 crore of an accused firm in the multi-crore rupee NSEL scam under anti-money laundering laws.

The factory is based in Kadi area of Mehsana district and has been identified by the agency to belong to a defaulting firm Ms N K Proteins in the scam. “The estimated value of the attached oil plant is 278.18 crore and attachment notices were served on Thursday to the firm after orders in this regard were made on 10 March under the provisions of the Prevention of Money Laundering Act (PMLA)," ED officials said.

This is one of the biggest single asset attachment made by the central agency in this case so far and the accused firm is allegedly one of the largest defaulters in the scam pegged at 5,600 crore. The firms’ liabilities stand to the tune of an estimated over 900 crore.

A top ED official in Mumbai, under which Ahmedabad zone falls, said “I don’t rule out the possibility of some more attachments." In December last year, the agency had attached a commercial property of the same firm worth 14.22 crore which is based here.

The agency, in the same case, also attached a rice mill in Ludhiana worth 41 crore. The mill is owned by another accused firm involved in the scam.

ED has so far attached total assets to the tune of over 700 crore of defaulting firms in this case and is conducting a parallel probe alongside Mumbai Police and other investigative agencies.

The National Spot Exchange Limited’s payment troubles started after it was ordered by regulator Forward Markets Commission (FMC) in July 2013 to suspend spot trade in most of its contracts due to suspected trading violations. The exchange could not settle the outstanding trades, sparking investigation by the police and regulators to find out whether the exchange had defrauded traders by not enforcing rules requiring sufficient collateral to be set aside.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

Catch all the Politics News and Updates on Live Mint. Download The Mint News App to get Daily Market Updates & Live Business News.
More Less
Published: 12 Mar 2015, 09:26 PM IST
Next Story footLogo
Recommended For You
Switch to the Mint app for fast and personalized news - Get App