Centre seeks NSEL scam details from Mumbai police

The Centre has sought details from Mumbai police about the Rs 5,600-crore National Spot Exchange Ltd scam, which might come up for discussion during the ongoing winter session of Parliament.
The Union Ministry of Corporate Affairs has asked for details of the progress made in the NSEL case probe, an officer at the Economic Offence Wing (EOW) of the Mumbai police said.
"The matter (NSEL case) may be discussed in Parliament," the officer said.
An FIR in the case was filed on September 30 by the EOW against NSEL directors Jignesh Shah, Joseph Massey and others, charging them with cheating, forgery, breach of trust and criminal conspiracy, among other offences.

The spot commodity bourse, promoted by the Shah-led Financial Technologies Ltd (FTIL), has been facing problems settling Rs 5,600 crore dues of 148 member brokers, who represent 13,000 investor clients.
The EOW has attached over 200 properties of defaulters, directors and senior officials of the NSEL, besides also freezing 325 bank accounts, which hold Rs 172.15 crore.

The investigating agency has pegged the value of all assets seized in connection with the NSEL scam at more than Rs 4,000 crore.
The police also suspect an equal role of brokers in the scam, since many of them sold NSEL commodities despite having known about fraudulent practices in the spot exchange.

The EOW has invoked the Maharashtra Protection of Interest of Depositors Act, which empowers the police to attach immovable assets of the accused.
So far, the EOW has arrested five accused in the case namely Anjani Sinha, Amit Mukherjee and Jay Bahukhundi of the NSEL, besides borrowers like N K Proteins Managing Director Nilesh Patel, Lotus Refineries Chairman Arun Sharma, who is also a movie financier.
All of them are in judicial custody and presently lodged in the Arthur Road Jail.