CA arrested for Rs 8,000 crore money laundering case

New Delhi: The Enforcement Directorate (ED) has arrested Rajesh Kumar Agarwal, a chartered accountant, in connection with its probe into a Rs 8,000-crore money laundering racket involving two Delhi-based businessmen and a few political entities. Mr Agarwal is also associated with some transactions involving a firm allegedly linked to RJD supremo Lalu Prasad’s daughter Misa Bharti, which is under scanner of the Income Tax for suspected tax evasion.

Sources said Mr Agarwal was arrested under the provisions of the Prevention of Money Laundering Act (PMLA) on Monday. Sources claimed the CA was “not cooperating” in the probe and he will be subjected to sustained interrogation.

Mr Agarwal was produced before a local court here on Tuesday where the ED sought his police custody for 14 days, claiming that his custodial interrogation was required to unearth the conspiracy and the money trail. The agency also claimed that more incriminating facts were likely to come out in this case, which allegedly involves two Delhi-based brothers and is linked with political entities. However, the court sent him to three-day custody of the ED.

Mr Agarwal was arrested for allegedly being instrumental in providing accommodation entries (illegal funds) to launder the money of businessmen brothers — Virendra Jain and Surendra Jain. The agency has, however, now expanded its probe and has brought all his dealings under scanner.

“Mr Agarwal has played a pivotal role in the transactions between Jain brothers and Ms Jagat Projects Limited. He is also associated with some transactions involving Ms Mishail Packers and Printers Private Limited,” the ED said in a statement. The firm, Mishail, allegedly linked to Misa Bharti, and close to two dozen entities linked to it are under the IT scanner.