ED attaches properties worth ₹7.81 crore in cheating case

The Enforcement Directorate (ED), Kochi Zonal Office, has attached immovable properties worth approximately ₹7.81 crore, including several plots of land in Kozhikode district, primarily held in the name of Moosa Haji Charaparambil.

The attachment was made as equivalent value to the proceeds of crime under Section 5(1) of the Prevention of Money Laundering Act (PMLA), 2002.

The ED initiated its investigation based on multiple first information reports (FIRs) registered by the Crime Branch, Economic Offences Wing of the Kerala Police in Kozhikode and Wayanad under Sections 406 and 420 of the IPC. The cases alleged cheating by entities of the Apollo Gold Group, including Apollo Gold, Apollo Jewellery, Zella Diamonds, and related firms.

The accused, including Mr. Charaparambil, Sabith K., and other directors/partners, allegedly lured depositors to invest in gold deposit schemes by promising high returns. Funds amounting to over ₹130 crore were collected across corporate and branch offices but were not returned. Instead, the money was allegedly misappropriated and diverted to several entities, generating proceeds of crime assessed at ₹118 crore, according to the ED.

Statements recorded under Section 50 of the PMLA from depositors and other witnesses confirmed the fraudulent schemes, non-repayment, and siphoning of funds. An analysis of audited financial statements and deposit lists revealed unsecured loans to partners and investments made using illicit funds, the ED said in a statement.

The investigation further revealed that Mr. Charaparambil allegedly diverted proceeds of crime worth ₹23 crore abroad. In addition, around ₹5 crore was reportedly transferred to his personal bank account and those of his associates.

The probe is continuing to trace additional proceeds of crime, identify further assets, and uncover other parties involved, it said.