New Delhi: The Enforcement Directorate has arrested former TMC MP KD Singh in connection with a money laundering case, official sources said on Wednesday. Delhi’s Rouse Avenue Court has sent Singh to Enforcement Directorate custody till January 16.
They said Singh has been placed under arrest under sections of the Prevention of Money Laundering Act (PMLA).
The Trinamool Congress (TMC) party is led by West Bengal Chief Minister Mamata Banerjee and Singh is believed to be not involved in the party affairs for quite some time.
The central probe agency had carried out searches at the premises of KD Singh and those linked to him in September 2019 in connection with two PMLA cases.
Singh has been the chairman of the Alchemist Group and while he resigned from the post in 2012, he is stated to be the Chairman, Emeritus and founder of the business group.
The ED is probing him as part of two money laundering cases.
The scam is stated to be about Rs 1,900 crore and the agency had attached assets worth Rs 239 crore of Alchemist Infra Realty Ltd early this year.
It has been alleged by central investigators that the company launched an illegal collective investment scheme, also called a ponzi or chit fund scheme, and mobilised funds of about Rs 1,916 crore from the public in the years preceding 2015.