In more trouble for telecom companies involved in the 2G spectrum scam, the Enforcement Directorate on Wednesday told the Supreme Court that properties worth Rs 2,000 crore each of two firms will be attached soon.
“Property worth Rs 2,000 crore each has to be attached relating to these companies,” senior advocate K K Venugopal, appearing for the ED, submitted before a bench comprising justices G S Singhvi and A K Ganguly.
Venugopal, who was reading the excerpts of the fresh status report of the ED submitted in a sealed cover, did not mention the names of the companies but assured that attachment proceedings will be initiated soon and will be completed within two months.
The bench meanwhile termed as “flabbergasting” the magnitude of money transactions in the 2G scam.
The scam, which, according to CAG estimates runs into Rs 1.76 lakh crore, left the bench perplexed as they perused the ED report giving details of illegal transaction of thousands of crores by the errant telecom companies.
“We are not familiar with such figures,” the bench said, adding that investigating officers who are probing the case must also be surprised with the amount involved in the scam.
“Gradually, figures are getting multiplied. Officers must also be flabbergasted by these figures,” the bench said after going through the report.
The bench said “ultimately retrospection has to be done by people themselves.”
Venugopal hinted that attachment orders will be issued shortly under the Prevention of Money Laundering Act (PMLA) and Foreign Exchange Management Act (FEMA), against the two companies against whom the ED has so far registered the complaints.
“It will be done in two months time against the companies whose names have been mentioned in the complaints. We have to collect details of their properties as many of the companies keep benami properties,” the senior advocate said when the bench asked how much time will the ED take to complete the investigation.
The ED in its status report said investigation was in progress regarding the involvement of five foreign companies in the 2G scam which are registered in Virgin Island.
On hearing this, the bench asked “what is the response of the CBI on it?”
Venugopal said till now the ED has not written about it to the RBI and future course of investigation will follow.
However, he said action has been taken and complaint has been registered for FEMA violation of Rs 4,000 crore which will be added on as the investigation will progress and attachment will start.
