HYDERABAD: The Directorate of Enforcement, Hyderabad unit, provisionally attached an amount of Rs 51 lakh lying in the bank account of GTN Engineering (India) Limited under the provisions of the Prevention of Money Laundering Act in connection with a case of environmental and water pollution.
The ED initiated an investigation against GTN Engineering (India) Ltd. (formerly named Perfect Knitters Limited) and others based on a prosecution complaint filed by the Telangana State Pollution Control Board (TSPCB) before the Additional Judicial First-Class Magistrate at Sangareddy. The chargesheet was filed against GTN Engineering for the commission of offences under Sections 24 and 43 of the Water (Prevention and Control of Pollution) Act, and Section 19 of the Environment (Protection) Act.
The PCB alleged that GTN Engineering (India) Ltd violated the mandatory guidelines of TSPCB and, due to continued negligence of the directions issued by the TSPCB, caused continuous water and air pollution in the surrounding areas.
The ED investigation revealed that GTN Engineering failed to regularly operate their Effluent Treatment Plant and thereby saved an expenditure of Rs 51 lakh. The amount of Rs 51 lakh is the pecuniary benefit derived by the company by not incurring the requisite expenditure on the treatment of effluents, which led to the violation of the TSPCB conditions and the commission of scheduled offences under the environmental pollution laws. Though, after the closure of the plant, the industry incurred an expenditure of Rs 23 lakh for disposing of liquid and solid effluents, irreversible damage was already caused to the environment and ecological system.
By not disposing of or treating the hazardous waste as per norms, GTN Engineering (I) Ltd. caused damage to public health and the environment and thus derived proceeds of crime to the tune of Rs 51 lakh, enjoying the same by intermingling the said funds in its business activities. Accordingly, an amount of Rs 51 lakh lying in the bank accounts of GTN Engineering (India) Ltd. has been provisionally attached under the provisions of PMLA.