HYDERABAD: Enforcement Directorate (ED) officials conducted raids on the MBS Group of companies and Musadddilal Jewellers in 20 places in Telangana and Andhra Pradesh, including Hyderabad, in connection with money laundering and Foreign Exchange Management Act (FEMA) cases.
The MBS group and its director Sukesh Gupta and sister companies had obtained gold from MMTC on credit to maintain forex positions without paying an additional five per cent tax thereby causing loss the corporation, the ED said. In 2014, ED officials registered cases based on a FIR filed by the CBI, and investigated the case.
Working on a tip-off agency officials conducted raids on MBS jewellery stores, offices and manufacturing units located at different places in Andhra Pradesh and Telangana.
Similarly, they carried out raids on Musaddilal Jewellers located in Hyderabad for diverting huge funds during demonetisation. Telangana police registered cases against Musaddilal Jewellers for exchanging `111 crore of old notes of 500 and `1000 denominations by showing fake sale records.
The ED registered cases against Musaddilal Jewellery and seized account books and their sales reports.
