The Enforcement Directorate (ED) has taken decisive action against a former Gujarat government official, provisionally seizing assets valued at nearly Rs 5 crore in a significant money laundering investigation. The case centers on alleged illicit wealth amassed far beyond legitimate income.
Properties Attached Under PMLA
In a major crackdown, the Ahmedabad Zonal Office of the Enforcement Directorate has provisionally attached properties worth Rs 4.92 crore belonging to Dhirubhai Bababhai Sharma. Sharma served as the field supervisor of the Gujarat Land Development Corporation in Anand. The attachment was carried out under the stringent provisions of the Prevention of Money Laundering Act (PMLA), 2002.
The seized assets are diverse and substantial. They include a commercial shop, a residential house, agricultural land, and the prominent Jalashay Resort in Nadiad. These properties are linked to Sharma, his family members, and their company, M/s Jalashray Resort Pvt Ltd.
Roots of the Investigation: Disproportionate Assets
The ED's probe was not initiated in isolation. It stems from a foundational First Information Report (FIR) registered by the Anti-Corruption Bureau (ACB) police station in Anand. The ACB FIR alleged that Sharma was in possession of disproportionate assets amounting to Rs 8.04 crore. This massive sum was deemed to be in excess of his known sources of income over a prolonged 12-year period from 2006 to 2018.
Based on this FIR, the ED launched its own investigation under the PMLA to trace the trail of the allegedly laundered money and identify the properties purchased with illicit funds.
The Money Laundering Mechanism Unraveled
The ED's investigation uncovered a sophisticated financial pattern designed to obscure the origin of funds. According to the agency's release, Sharma, his family, and their company had taken multiple secured and unsecured loans.
The repayment of these loans followed a suspicious circuit. Instead of using standard banking transfers, large amounts of cash were deposited into various bank accounts. These cash deposits were then swiftly transferred to Krishna Finance to settle the loan repayments.
The ED has labeled this a classic money laundering technique. The method involved introducing illicit cash into the formal banking system and then immediately using it to pay off financial liabilities. This process effectively layered the money, making it extremely difficult to trace back to its original, illegal source. To further complicate the paper trail, some repayments were routed through multiple accounts.
The agency is continuing its deep dive into the complete financial dealings of Sharma and his family members. This case highlights the ongoing vigilance of central agencies against corruption and financial crime in the public sector.
In a related development, ED teams were also active in Gujarat on Thursday, probing a separate multi-state government job scam, as per sources. While details of those searches remain undisclosed, it points to a broader action drive in the region.
