ED now launches money laundering probe against Kalra in hoarding case

New Delhi: The Enforcement Directorate (ED) has filed a money laundering case against businessman Navneet Kalra and his associates in a recent case of alleged hoarding and black marketing of oxygen concentrators which were being anxiously scoured by those gasping for air due to COVID-19 infection, officials said on Wednesday.

The central probe agency took cognisance of a Delhi Police FIR that was filed on May 5 after policemen raided some restaurants and premises owned and linked to Kalra and recovered more than 500 of these life-saving machines from there.

Official sources said a criminal case under various sections of the Prevention of Money Laundering Act (PMLA) has been filed against Kalra and his associates and the ED will probe the money trail in the matter.

The agency, they said, will probe if the oxygen concentrators were illegally hoarded and offered to the family members or caregivers of coronavirus-infected patients at exorbitant prices, thereby leading to generation of "proceeds of crime" as defined under the PMLA.

The ED is empowered to question and record the statements of the accused and it can even attach their properties during the course of investigation, following which it files a charge sheet before a special PMLA court seeking their prosecution under the anti-money laundering law.

Sources said exchange of basic documents and information sharing between the two agencies — ED and Delhi Police crime branch — has been done.

Kalra was nabbed by Delhi Police crime branch sleuths from Gurgaon on Sunday night and was formally arrested the next day. He was later sent to three days police custody by a local court.