ED Freezes Over Rs 9 Crore in Money Laundering Probe Against Former Employees of German Firm's Pune Subsidiary

The Enforcement Directorate (ED) has frozen more than Rs 9 crore in bank deposits, mutual funds, and other financial investments in a money laundering investigation against former employees of HUF India Pvt Ltd, a Pune-based subsidiary of a German company. The ex-employees allegedly diverted company funds of Rs 139 crore for personal gain.

In a major crackdown, the Enforcement Directorate (ED) has frozen bank deposits, mutual funds, and other financial investments totaling more than Rs 9 crore. The move is part of an ongoing money laundering probe targeting former employees of HUF India Pvt Ltd, a Pune-based subsidiary of the German firm HUF Halswerk & Furst GMBH & Co. KG.

The central agency disclosed that searches were carried out at six locations across Pune, Maharashtra, and Delhi-NCR on September 4. The raids focused on the premises of the former employees and vendors allegedly involved in the financial misconduct.

According to the ED, these ex-employees are accused of diverting company funds amounting to Rs 139 crore over a ten-year period (2010-2020). The illicit activities reportedly involved manipulation and misuse of purchase orders, creation of false invoices, and other fraudulent practices. Financial irregularities were discovered following an audit, leading to the freezing of Rs 9.62 crore and the recovery of incriminating documents during the searches.

(With inputs from agencies.)