CHENNAI: The enforcement directorate on Tuesday arrested Mohammed Saleem, brother of expelled DMK functionary Jaffer Sadiq, for his involvement in laundering proceeds of crime linked to Sadiq. Saleem was expelled from the Viduthalai Chiruthaigal Katchi (VCK), a DMK ally.
Sadiq was arrested by Narcotics Control Bureau (NCB) as the mastermind behind a sophisticated scheme to smuggle controlled substance pseudoephedrine to Australia, New Zealand and Malaysia camouflaged as health-mix powder and desiccated coconut. He was later arrested by ED as part of their money laundering investigations. A total of 15 locations across Tamil Nadu were searched.
The ED said its investigation revealed that Saleem, along with Sadiq, played a pivotal role in exporting and concealing pseudoephedrine and other narcotics. Saleem, who is a director/ partner in multiple firms and entities, used these channels to launder and layer the proceeds of crime.
In an official statement, ED said Saleem had accumulated Rs 8 crore in illicit cash deposits across multiple accounts under his control.
“Saleem not only facilitated the transfer of drug trafficking proceeds into valuable real estate but also invested in high-end assets such as a Jaguar and other luxury vehicles. His wealth, in stark contrast to his declared income, underscores the scale of his involvement in this criminal network,” ED said in the statement.
ED had earlier questioned Sadiq’s wife for a few hours in its Chennai office in relation to the case.
According to sources, ED’s contention is that Sadiq has invested the proceeds from drug trade in various businesses including film production under the banner JSM Picture.
ED has identified three companies - Cube Impex, Sakshi Enterprises and Aventa company- as those which were involved in the drug trafficking operations and to channelise and layer the proceeds of crime.