ED attaches assets worth Rs 300 crore of Mantri Group
BENGALURU: The Directorate of Enforcement (ED) has issued a Provisional Attachment Order (PAO) under the provisions of the Prevention of Money Laundering Act, 2002, attaching immovable assets worth Rs 300.4 crore in a money laundering case against Mantri Group for “cheating home buyers of Mantri Serenity, Mantri Web City and Mantri Energia residential projects”, the ED stated in an official release on Friday.
According to the probe agency, “Castles Vista Private Limited (subsidiary of Mantri Developers Pvt Ltd) and Buoyant Technology Constellations Pvt Ltd (subsidiary of Mantri Developers Pvt Ltd) induced home buyers with rosily painted schemes, showing misleading brochures, falsification of delivery time lines and window dressing. But the flats have not been delivered even after seven to 10 years of taking deposits from prospective home buyers,” the ED stated.
“Investigation under PMLA was initiated on the basis of an FIR registered by Subramanyapura Police Station, Bengaluru, under various sections of the IPC Indian Penal Code (IPC). Multiple FIRs have also been registered by home buyers against Mantri Developers Pvt Ltd, its subsidiaries, directors and promoters for cheating the public by inducing home buyers with false promises, at Cubbon Park police station,” the central agency added
The ED had arrested the founder and promoter, director of Mantri Developers Pvt Ltd Bengaluru, Sushil P Mantri on June 24 this year in connection with the ongoing investigation under PMLA. “Further investigation revealed that Mantri Developers Pvt Ltd and its subsidiaries diverted home buyers’ money to other projects which is a criminal breach of trust.
The money was given to the developers in good faith and has been diverted for purposes other than construction of projects resulting in criminal misappropriation diversion of Rs 300.4 crore, thereby committing the offence of money laundering under Section 3 of PMLA. Accordingly, immovable assets worth Rs 300.4 crore in Mantri Serenity an dMantri Energia residential projects have been attached under the Act,” the probe agency added.