P Senthil Kumar Vs Directorate of Enforcement (Appellate Tribunal Under Safema At New Delhi)
Illegal Granite Mining Proceeds Laundered into 511 Properties – Tribunal Upholds ₹96 Crore Attachment under PMLA
Background
The appellants, a group of 13 individuals including C. Panneer Mohamed, C. Rabeek Raja, R. Kasaniya Begum, & their family members, challenged the order dated 17.04.2018 passed by the Adjudicating Authority confirming the Provisional Attachment Order (PAO No. 21/2017) under the Prevention of Money Laundering Act, 2002 (PMLA). The attachment involved 511 immovable properties with a registered value of ₹17.46 crores & guideline value of ₹96.05 crores, allegedly purchased from illegal granite mining proceeds.
Facts of the Case
- Multiple FIRs (Nos. 156/2012, 166/2012, 183/2012, 397/2013 & 19/2015) were filed in Madurai district alleging illegal granite quarrying between 2005–2012, causing a loss of ₹450 crores to the Government.
- ED registered ECIR No. 03/CEZO/2014 based on these predicate offences.
- Illegal extraction was scientifically established by Total Station Survey, showing unlicensed mining by M/s Madurai Granite Exports, M/s RR Granites, & M/s MR Granites, linked to the appellants.
- ED found that proceeds from these offences were laundered through property purchases in the names of family members & associates.
Appellants’ Contentions
1. Properties untainted: Purchased from legitimate quarrying income, duly reflected in ITRs & VAT returns.
