Kolkata: The Enforcement Directorate (ED) has attached immovable properties worth Rs 15.47 crore belonging to Delta Ltd and others in connection with a money laundering case.
The ED has also submitted a final charge sheet July 24 in a special court under the Prevention of Money Laundering Act (PMLA) in Kolkata against the company and 7 others, agency officials said.
The central anti-laundering money agency began its probe on the basis of an FIR registered at Hare Street Police Station, Kolkata, following a directive from Calcutta High Court on writ petitions alleging non-payment of statutory dues, such as Provident Fund (PF), despite regular salary deductions.
The FIR was lodged against Delta Ltd and others for alleged criminal conspiracy, cheating, and misappropriation of workers’ Provident Fund deductions.
The ED’s investigation revealed that nearly 800 workers of the company and its associated entities were cheated through the misuse of their PF fund trust (Delta Jute & Industries Ltd Worker’s Provident Fund Trust).
The company had been granted exemption under the Employees Provident Funds (EPF) Act, allowing it to manage PF money through its own trust. This trust was intended to operate and ensure proper investment of employees’ PF funds.
However, in violation of the mandate, employees were appointed as trustees instead of professionals or fund managers. These employees acted solely under management’s directions and had no real decision making power.
Due to continuous violations and financial losses, the exemption was revoked in 2014. Despite this, and even after ongoing court proceedings, the company continued deducting PF from workers’ salaries but failed to deposit it with either the trust or PF authorities, the ED said.
“The money was wrongfully retained as the company deliberately avoided depositing the statutory contributions deducted from employees,” the ED noted.
According to the agency, the withheld amounts were subsequently laundered and used for non-permitted purposes, including loan repayment, meeting business expenses, and property transactions.
The total Proceeds of Crime (POC) in the case amount to Rs.15.47 crore.
“The attachment of full POC in the form of immovable properties has been done and a final prosecution complaint has been filed,” the ED added.
