Enforcement Directorate slaps money laundering case against GVK, MIAL

NEW DELHI: Days after the Central Bureau of Investigation (CBI) filed an FIR against the GVK Group promoters, the Enforcement Directorate (ED) Tuesday said it has initiated a case against the GVK group promoters and officials of Mumbai International Airport Ltd (MIAL) pertaining to the alleged money laundering of Rs 705 crore in the Mumbai airport development scam.

Confirming the development, officials said that ED has filed an Enforcement Case Information Report (ECIR), which is equivalent to FIR. The case has been filed under Section 3 of Prevention of Money Laundering Act (PMLA), which deals with concealment of proceeds of crime. The latest action is based on the case registered by CBI on July 27 against GVK Group Chairman Sanjay Reddy and MIAL Managing Director GV Sanjay Reddy for alleged siphoning of Rs 705 crore via nine companies, which was used to float bogus contracts in developing the Mumbai airport causing a loss to the state exchequer between 2012 and 2018.