Mumbai: The Enforcement Directorate (ED) has filed a supplementary chargesheet against Raj Shroff, son-in-law of former chief minister Sushil Kumar Shinde, HDIL’s Rakesh Wadhawan, and his son Sarang in a money laundering case involving Mack Star Marketing Pvt Ltd.
The case pertains to alleged money laundering in transactions of commercial property in Andheri’s Kaledonia building that was owned by Mack Star. It was alleged that the Wadhawans kept the major stakeholder of Mack Star in the dark and sold the Kaledonia premises to various people at low prices for personal gain. Afterwards, the majority stakeholder took control of Mack Star and filed a case against Wadhawans along with others.
Recently, the Economic Offences Wing (EOW) of the police filed a closure report in the alleged fraudulent sale of the premises, stating that it was a civil dispute and no fraudulent transaction took place. According to ED sources, their case remains unaffected by the EOW’s closure report, as the CBI investigated another aspect of the Kaledonia project involving the Yes Bank loan fraud. The ED is examining options to contest the EOW’s closure report.
The chargesheet says that Shroff acquired one unit through Jindal Combines Pvt Ltd for nearly Rs 9.4 crore and another unit via Orlando Trading Pvt Ltd for Rs 18 crore. Shroff has not paid the agreed amount for one of the units, citing unfulfilled conditions by Mack Star regarding building maintenance and statutory taxes. The ED dismissed Shroff’s explanation for the price difference between the properties. His claim that the Jindal Combines property was poorly situated with an odd shape and no light, whilst the Orlando Trading property was well-located with sunlight and fully furnished, was deemed to appear “very vague and unacceptable”.
Mack Star Marketing comprises a joint venture between HDIL with its promoters and Ocean Deity Investment Holdings Ltd (DE Shaw Group, Mauritius), established under Mauritian legislation. DE Shaw Group possesses a little over 78% of Mack Star, whilst HDIL and promoters own the remaining share. Allegations suggest Wadhawan sold multiple units in the Kaledonia building to politicians’ relatives and influential individuals at substantial discounts without DE Shaw Group’s knowledge.
The ED’s chargesheet alleges that HDIL promoters Rakesh and Sarang Wadhawan improperly utilised Mack Star’s management to sell office units in the Kaledonia building to their company’s creditors and associates. Whilst sale agreements for certain properties indicated payments for Kaledonia units, Mack Star never received these amounts. The ED indicated that the HDIL group gained Rs 88.5 crore unlawfully, whilst ‘ODIL’ suffered losses.
The ED stated that the Wadhawans defrauded Mack Star by securing unauthorised loans of Rs 200 crore using its properties as collateral and transferring its properties illegally to HDIL Group’s creditors for settling their dues. Regarding Raj Shroff’s transactions, the ED’s chargesheet details the sale of two office units in Kaledonia building to his companies, Jindal Combines Pvt Ltd and Orlando Trading respectively. These transactions, deemed fraudulent, caused loss to Mack Star.
Others who have been named in the chargesheet are businessmen Vivek Thar, Akshay Doshi, Zakaria Farooq Darvesh, Haresh Sanghavi, Kelvin Kohli, Dharam Pal Talwar, Ashok Kumar Gupta, Mohit Singhal (Mohit Aggarwal), Vickaash Agarwal, Pradeep Jain.
Mumbai: The Enforcement Directorate (ED) has filed a supplementary chargesheet against Raj Shroff, son-in-law of former chief minister Sushil Kumar Shinde, HDIL’s Rakesh Wadhawan, and his son Sarang in a money laundering case involving Mack Star Marketing Pvt Ltd.
The case pertains to alleged money laundering in transactions of commercial property in Andheri’s Kaledonia building that was owned by Mack Star. It was alleged that the Wadhawans kept the major stakeholder of Mack Star in the dark and sold the Kaledonia premises to various people at low prices for personal gain. Afterwards, the majority stakeholder took control of Mack Star and filed a case against Wadhawans along with others.
Recently, the Economic Offences Wing (EOW) of the police filed a closure report in the alleged fraudulent sale of the premises, stating that it was a civil dispute and no fraudulent transaction took place. According to ED sources, their case remains unaffected by the EOW’s closure report, as the CBI investigated another aspect of the Kaledonia project involving the Yes Bank loan fraud. The ED is examining options to contest the EOW’s closure report.
The chargesheet says that Shroff acquired one unit through Jindal Combines Pvt Ltd for nearly Rs 9.4 crore and another unit via Orlando Trading Pvt Ltd for Rs 18 crore. Shroff has not paid the agreed amount for one of the units, citing unfulfilled conditions by Mack Star regarding building maintenance and statutory taxes. The ED dismissed Shroff’s explanation for the price difference between the properties. His claim that the Jindal Combines property was poorly situated with an odd shape and no light, whilst the Orlando Trading property was well-located with sunlight and fully furnished, was deemed to appear “very vague and unacceptable”.
Mack Star Marketing comprises a joint venture between HDIL with its promoters and Ocean Deity Investment Holdings Ltd (DE Shaw Group, Mauritius), established under Mauritian legislation. DE Shaw Group possesses a little over 78% of Mack Star, whilst HDIL and promoters own the remaining share. Allegations suggest Wadhawan sold multiple units in the Kaledonia building to politicians’ relatives and influential individuals at substantial discounts without DE Shaw Group’s knowledge.
The ED’s chargesheet alleges that HDIL promoters Rakesh and Sarang Wadhawan improperly utilised Mack Star’s management to sell office units in the Kaledonia building to their company’s creditors and associates. Whilst sale agreements for certain properties indicated payments for Kaledonia units, Mack Star never received these amounts. The ED indicated that the HDIL group gained Rs 88.5 crore unlawfully, whilst ‘ODIL’ suffered losses.
The ED stated that the Wadhawans defrauded Mack Star by securing unauthorised loans of Rs 200 crore using its properties as collateral and transferring its properties illegally to HDIL Group’s creditors for settling their dues. Regarding Raj Shroff’s transactions, the ED’s chargesheet details the sale of two office units in Kaledonia building to his companies, Jindal Combines Pvt Ltd and Orlando Trading respectively. These transactions, deemed fraudulent, caused loss to Mack Star.
Others who have been named in the chargesheet are businessmen Vivek Thar, Akshay Doshi, Zakaria Farooq Darvesh, Haresh Sanghavi, Kelvin Kohli, Dharam Pal Talwar, Ashok Kumar Gupta, Mohit Singhal (Mohit Aggarwal), Vickaash Agarwal, Pradeep Jain.