New Delhi [India], May 11 : The Directorate of Enforcement (ED) has provisionally attached immovable properties in Madhya Pradesh's Khandwa worth Rs 5.37 crore belonging to Hemkunt Foundation.
The properties, comprising agricultural land and building, were attached under relevant provisions of the Prevention of Money Laundering Act, 2002 on Tuesday, the ED said in a release on Thursday.
Hemkunt Foundation's website says it is a not-for-profit skill development centre in the Khandwa district.
Hemkunt Foundation was alleged to have raised "crores of rupees" from individuals and corporates in the name of Covid relief and oxygen supply during the peak of the second wave of Covid-19, but was siphoned off and utilized for activities for personal gains, ED said.
"Investigation conducted by the Directorate under provisions of the PMLA revealed that Hemkunt Foundation collected huge donations to the tune of Rs. 77.10 Crore during the second wave of Covid-19 from large corporates and the general public on the pretext of providing relief to People suffering from COVID-19," ED said.
"Hemkunt Foundation diverted most of the funds thus collected towards the assets of the foundation such as kept in FDs (Rs. 17.32 Crore), purchasing Land in Gurugram (43 Crore) and spending on land purchase and construction activities in Madhya Pradesh (Rs. 5.37 Crore)."
ED had earlier attached the said land worth Rs. 43 Crore and had frozen the Fixed deposits of Rs. 17.32 Crore during the course of the investigation. With the present attachment of land and building worth Rs. 5.37 Crore, ED has cumulatively attached/frozen assets worth Rs. 65.69 Crore representing the proceeds of crime in this case.
Further investigation is under progress.
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