The Enforcement Directorate (ED) announced on Tuesday that it has apprehended four individuals in relation to its investigation into money laundering. The probe concerns the purported misuse of funds designated for training young individuals in advanced software by the Andhra Pradesh government.
Soumyadri Shekhar Bose alias Suman Bose, former managing director (MD) of Siemens Industry Software India Pvt Ltd (SISW), Vikas Vinayak Khanvelkar, MD of Designtech Systems Pvt Ltd, Mukul Chandra Agrawal, former financial advisor and authorised signatory of Skillar Enterprises India Pvt Ltd, and Suresh Goyal, a chartered accountant, have been sent to ED custody by a special Prevention of Money Laundering Act (PMLA) court.
The case revolves around the diversion and misuse of large sums of money allocated by the state government for the implementation of "Siemens Projects". These projects aimed to equip local youth with advanced software and technical skills. However, instead of fulfilling their intended purpose, the funds were misappropriated, resulting in significant financial losses.
The money laundering case stems from a Andhra Pradesh CID PMLA regarding swindling of government money to the extent of Rs 241 crore in a dubious manner, the agency said.
The probe found "diversion and siphoning off government funds given to Designtech Systems Pvt Ltd through Skillar Enterprises India Pvt Ltd and thereafter, through a web of shell companies under the guise of supply of software, hardware, materials and services without any genuine supplies," it said.
The purpose for such diversion of funds was to generate cash and thereby, siphon off money from the system without utilising the same for the Siemens Projects for which funds were sanctioned by the government of Andhra Pradesh, it said.
The ED said it has "established" a money trail of diversion of around Rs 70 crore till now.
With inputs from PTI
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