New Delhi, Oct 20: A case has been registered against an associate of Iqbal Mirchi for illegally routing money to Dubai.
The Chennai police registered the case against Mirchi's associate, Musharaf Merchant for opening fake accounts at a bank in Kilpauk. The case has been registered under Sections 120-B, 420 and 471 of the Indian Penal Code.
The investigations by the Enforcement Directorate found that fake accounts were opened at a bank in Kilpauk to launder money. The proceeds had come from a land deal and the account was used to launder money to Dubai.
A source part of the investigation told OneIndia that the accounts had been closed after the deal was completed. It was specifically opened to launder money to Dubai, the source also added.
The ED had probed a loan of more than Rs 2,100 crore which was allegedly diverted to Mirchi in Dubai.
The ED on Saturday conducted searches at about a dozen premises of DHFL and other linked firms in connection with its money laundering probe against Iqbal Mirchi, the aide of global terrorist Dawood Ibrahim, officials said.
They said the raids are being conducted in and around Mumbai under provision of the Prevention of Money Laundering Act (PMLA).
About a dozen premises are being searched, they added.
The Dewan Housing Finance Corp Ltd (DHFL) allegedly had business links with Sunblink Real Estate, the firm at the heart of investigations into the financial dealings of Mirchi. The DHFL had given loans of Rs 2,186 crore to the real estate firm.
The ED suspects these monies were allegedly routed by Sunblink into accounts linked to Mirchi and his associates.
The agency is looking for evidence in the form of documents and other paraphernalia as part of the latest operation, they said.
The DHFL earlier said it had no links to the alleged dubious transactions.
The ED turned up the heat in the money laundering case linked to the multi-crore real estate deals of Mirchi and others after recently arresting two of his alleged aides.
Mirchi had died in 2013 in London. He was alleged to be the right-hand man of Dawood Ibrahim in drug trafficking and extortion crimes.
NCP leader Praful Patel was questioned by the agency in this case on Friday for his alleged property deal with the family of Mirchi. Patel has denied wrongdoing.