Bhopal: The Enforcement Directorate on Thursday said schools, colleges, paper mills and other buildings worth more than Rs 230 crore of Bhopal-based Peoples Group have been attached as part of a money laundering probe. The ED case stems from three charge sheets filed by the Registrar of Companies against Suresh Narayan Vijayvargiya, late Ram Vilas Vijayvargiya, Peoples International & Services Pvt Ltd, PGH International Pvt Ltd and Peoples General Hospital Pvt Ltd under sections of the Companies Act, 2013.
ED said it has provisionally attached properties worth Rs. 230.4 Crore under the provisions of PMLA, 2002 in the form of the Land, Buildings and Machinery in the case of ‘Peoples Group, Bhopal, MP’. The attached properties include Colleges, Schools, Training Centre, Paper Mill, Newsprint machinery etc.
The ED alleged that its investigation found that Vijayvargiya enriched himself and entities under his control by using funds received as FDI through dubious means, leading to the loss of three companies (People’s International and Services Private Limited, PGH International Private Limited and People’s) the interests of the shareholders were harmed. General Hospital Private Limited) which received FDI.
Foreign investment of Rs 494 crore in 3 companies
According to the investigation report this fund came into the accounts of group companies People’s International and Services Private Limited, PGS International Private Limited and People’s General Hospital Private Limited between 2000 and 2011. SN Vijayvargiya and related entities under his control under such other names during the period 2000 to 2022, resulting in generation of crime proceeds of Rs 594.65 crore.
These proceeds were used by SN Vijayvargiya, Sarvajanik Paramarthika Jankalyan Nyas (a public trust over which SN Vijayvargiya had dominant control as trustee) and PG Infrastructure and Services Private Limited (a company in which 99 per cent of the shares are held by SN Vijayvargiya).
ED raided in September
The Enforcement Directorate had raided the group in September. During this time, a case was registered under the provisions of Prevention of Money Laundering Act (PMLA). The Gwalior-based Registrar of Companies had complained that People’s General Hospital Pvt Ltd, People’s International and Services Pvt Ltd and PGH International Pvt Ltd. The directors have abused their position.
