ED raids Chennai infra construction firm, promoters in money laundering case

PTI, Jan 19, 2024, 3:55 PM IST

The Enforcement Directorate on Friday raided multiple premises in Chennai as part of a money laundering investigation involving a city-based civil construction and infrastructure company, its promoters and linked persons, official sources said.

The probe by the central agency was initiated after taking cognisance of an FIR filed by the central crime branch (CCB) of Greater Chennai Police against Ocean Lifespaces India Private Limited, its MD and CEO S K Peter, some directors and others.

About six-seven locations in and around Chennai city are being covered by ED officials under the provisions of the Prevention of Money Laundering Act (PMLA), the sources said.

The CCB FIR was filed last year on the complaint of a former director of the company, B Sriram, who alleged he was ”cheated” by the promoters and later he also moved the National Company Law Tribunal (NCLT) challenging his removal from the board of the company.

The company promoters and directors subsequently moved the Madras High Court seeking quashing of the police FIR. The court transferred the probe from the CCB to the crime branch CID of the state after allegations of threat and coercion were made by the company against CCB officials to settle the matter with the expelled director for a purported sum of Rs 50 crore.

Accordind to the company website, it is involved in general contracting works, including facade work and design.