The Enforcement Directorate has attached Rs four crore cash, 18 gold ornaments weighing 591 grams and bank deposits worth Rs 6 lakh belonging to three persons, accused in the sensational red sanders smuggling racket, in a money laundering case.
The money recovered from Saravanan, Mohanammal also known as "Karagattam (folk dancer) Mohana" and Nirmala was generated by the trio who disguised themselves as government officials and intercepted those persons who illegally smuggle red sanders, an official release from Enforcement Directorate said.
Their modus operandi was after intercepting the smuggled red sanders, these persons would seize the vehicle with the red sanders and collect money for releasing them, it said.
"On many occasions, they have committed such offences and amassed money in lakhs, however the victims did not prefer any police complaint as they were into illegal red sanders smuggling trade," it said.
The modus operandi of the trio was that from the money collected, they used to purchase gold jewels, immovable properties, investing in banks, and by lending it, it said.
A search was conducted at the premises of Saravanan and the cash and documents were recovered.
Saravanan is under judicial custody in Puzhal Central Prison. Further investigation on charges under Prevention of Money Laundering Act is on, the release said.
