Mumbai Police's EOW launches probe against ED officers for alleged extortion

Sanjay Raut

The game of one-upmanship between the Centre and Maharashtra government seems to have moved to the next level, with the Mumbai Police's Economic Offences Wing launching a probe against a few Enforcement Directorate officers for alleged extortion.

The ED officers are accused of conniving with one Jitendra Navlani to extract money from businessmen under the pretext of registering money-laundering cases against them.

The Economic Offences Wing (EOW) has issued notices to a few companies for allegedly receiving extortion money under the garb of consultancy fees. "We have initiated an enquiry and notices have been sent to the companies concerned asking about the details of some suspicious transactions as alleged by the complainant," a senior EOW officer told mid-day.

The EOW action on Wednesday came a day after the ED provisionally attached immovable properties worth about R6.5 crore belonging to a relative of Chief Minister Uddhav Thackeray in a money laundering case.

MVA leaders have alleged BJP's role in the action against Uddhav Thackeray's relative on Tuesday; (right) earlier, Sanjay Raut had levelled serious allegations against ED officers based on Sena member Arvind Bhosle's complaint against Navlani

Sources said a certain Arvind Bhosle, who is also a member of Shiv Sena, had complained to the EOW that Navlani had connived with a few ED officers to extort about Rs 59 crore between 2015 and 2020 from some companies. The money was allegedly paid as consultancy fees.

"Navlani is one amongst other conduits of E.D. who would first give ‘information' to the personnel working with E. D. and thereupon those named persons would be summoned by the E. D. under the pretext of conducting investigation under Prevention of Money Laundering Act, 2002 (PMLA). The Act is so vague that E.D. personnel assume and presume that they have unbridled powers of conducting investigation and in the process indulge in massive extortion/cheating," reads Bhosle's complaint.

"We have not issued any summons to ED officials but the complainant alleges that some ED officials are also conniving with one person and extorting money. During the course of the enquiry if any such facts come to our notice then we will call the officials for clarity," the senior EOW officer told mid-day.

Probe follows Raut's charges

The EOW has already recorded Bhosle's statement and taken documents available with him. "The statements of a few victim companies have also been recorded to ascertain the details of amounts transferred by them to the companies linked with Navlani," said an officer privy to the investigation.

The EOW probe started after Sena MP Sanjay Raut levelled allegations of extortion against ED officers. Raut has been attacking the Cenre accusing it of misusing the ED to destabilise the Maharashtra goverment by taking actions against MVA ministers and leaders.

"It is shocking and horrifying to note that those personnel of Enforcement Directorate who are expected to investigate money laundering cases are themselves involved in massive money laundering themselves as apart from payment of R59 crore which have been paid from time to time by various business entities as aforesaid to Navlani and/or remitted in the companies/firms owned and/or under his control apart from extorting more than R100 crore in cash from the above 70 entities during the aforesaid period [sic]," reads Bhosle's complaint.

EOW moves swiftly on Somaiya's son

Apart from Navlani, EOW has also speeded up its inquiry against BJP leader Kirit Somaiya's son Neil Somaiya in connection with a land deal having alleged links with the PMC bank scam accused Rakesh Wadhawan.

"Statements of seven people have been recorded so far and we cannot divulge more details," an EOW officer told mid-day.

Earlier, Neil Somaiya moved the sessions court for anticipatory bail but the court did not entertain his plea saying there is no offence registered against him. The action by EOW is being seen as a counterattack by MVA to unleash its force against BJP leaders as the Centre is perceived to be using ED against the ministers and leaders of MVA.