Bengaluru, March 24 The Enforcement Directorate's (ED) Mangaluru Sub Zonal Office, has provisionally attached properties in the form of agricultural land and LIC policies to the tune of Rs 1.66 crore, in the names of Hariprasad Jayanna and Gajanana Wadeyar, under the Prevention of Money Laundering Act (PMLA), 2002, in connection with the case of Harsha Entertainment Private Limited in a matter related to defrauding investors, the official statement said on Tuesday.
The ED has provisionally attached properties in the form of agricultural land and LIC policies to the tune of Rs 1.66 crore, in the names of Hariprasad Jayanna and Gajanana Wadeyar, on March 23 under the provisions of the PMLA, 2002, in connection with the case of Harsha Entertainment Private Limited, according to the statement.
"After a case was registered immediately, the PMLA investigation was initiated on the basis of an FIR dated April 15, 2017, registered against Satyabodha Khasnis aka Harsha, Sanjeev Khansis, Shreekanth Khasinis and others, by Kalaghatagi police station in Dharwad Sub-Division at Dharwad, for collecting money from various persons by promising high interest rates and defaulting on it," the central agency said.
"The ED investigation revealed that the accused persons Satyabodha Shrinivasrao Khasnis, Sanjeev and Shreekanth, through their concerned Harsha Life Light and Harsha Entertainment Private Limited, had mobilised huge funds from the public investors between the financial years 2009-10 and 2016-17, by promising them exorbitant returns ranging from four to six per cent per month on the capital invested," the statement said.
"The enquiries also revealed that the accused persons had utilised the funds mobilised from public investors for the purpose of trading in share market, production of films and other unexplained purposes, and failed to repay investors to the tune of Rs 22.58 crore," the ED said.
"The enquiries revealed that one of the film directors, Pavan Kumar, who had received money from the accused persons through their concerns, had utilised the part of the funds for purchase of LIC policies in his father Gajanana Wadeyar's name and another film director Hariprasad Jayanna had utilised the funds received from accused persons via cash for unexplained purposes, leading the attachment of their properties such as LIC policies in the name of Gajanana Wadeyar valuing Rs 1.31 crore and immovable property in the name of Hariprasad Jayanna to the tune of Rs 35 lakh under Section 5 of PMLA," the ED added.
The central agency also found that film director Pavan Kumar, who had received funds from the accused entities, utilised part of the money to purchase LIC policies in the name of his father, Gajanana Wadeyar.
These policies, valued at Rs 1.31 crore, have now been attached.
Further investigation is underway.
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