ED seizes assets worth over Rs 18,000 crores of Vijay Mallya, Nirav Modi, Mehul Choksi; transfers part of it to Centre, public sector banks

The Directorate of Enforcement (ED) has seized assets belonging to businessmen Vijay Mallya, Nirav Modi and Mehul Choksi, accused under the Prevention of Money Laundering Act for defrauding Public Sector Banks by siphoning off funds through their companies leading to a loss of over Rs. 22,000 crores..The total loss caused to the banks was Rs. 22,585.83 crores and ED seized assets worth Rs. 18,170.02 crores which is about 80% of the total loss suffered by the banks, a press release by the agency stated.The press release also said that ED has transferred a part of the seized assets to the tune of Rs. 9,371.17 crore to the Central government and the Public Sector Banks..The shares attached by ED were transferred to a consortium of banks led by the State Bank of India in compliance with an order of the Special PMLA court of Mumbai.On Wednesday, the Debt Recovery Tribunal of Mumbai sold shares of the United Breweries Limited for Rs. 5824.50 crores. ED stated that further realisation of Rs. 800 crores by sale of shares was expected by June 25, 2021. .Earlier the Public Sector Banks had recovered Rs. 1,357 crores through sale of shares. The press release stated that by the end of this week, the banks were expecting to realise a total of Rs. 7,981.5 crores through sale of parts of assets attached by ED..Mallya is an accused in a bank loan default case of over Rs 9,000 crore involving the now-defunct Kingfisher Airlines. Meanwhile, Modi and his uncle Choksi are wanted in the Punjab National Bank (PNB) fraud worth Rs.14,500 crore.Mallya and Modi have also been declared as fugitive economic offenders. .After the Central bureau of Investigation registered a First Information Report (FIR) against the accused, ED took action by unearthing a myriad web of domestic and international transactions and stashing of assets abroad. ED took immediate steps to seize assets located in foreign countries, which were worth Rs. 969 crores.Their investigation also proved that the three accused persons used "dummy entities/trusts" controlled by them for siphoning off funds provided by the banks. .Complaints were filed against the three accused after investigation was completed. Extradition requests were sent out to the United Kingdom for Mallya and Modi; and to Antigua and Barbuda for Choksi. The Westminster Magistrates Court thereafter ordered extradition of Mallya and Modi to India.