ED seizes ₹78.15 lakh during raids across 3 states

The targeted firm, Malbros International Pvt Ltd, has been accused of contaminating groundwater by discharging effluents into borewells

The Enforcement Directorate (ED) on Friday said it seized ₹78 lakh of “unaccounted” cash and digital devices during a search operation targeting a Punjab-based liquor firm and its former director Gautam Malhotra, son of Shiromani Akali Dal’s ex-MLA Deep Malhotra.

Apart from ₹78.15 lakh, the Enforcement Directorate has seized some digital devices and “incriminating” documents. (Picture only for representational purpose)

The searches were launched on July 16 at seven locations in Punjab, Delhi and Madhya Pradesh on the premises of Malbros International Pvt Ltd. The money laundering case stems from a criminal complaint filed by the Punjab Pollution Control Board against the company for alleged violation of various sections of the Water (Prevention and Control of Pollution) Act, 1974 for “contaminating” soil and ground water in and around its factory premises, the central agency said in a statement.

The complaint was filed in the court of chief judicial magistrate in Ferozepur. The agency said the company discharged industrial effluent into the bore-wells installed “illicitly” on the premises of its industrial unit in Ferozepur, leading to soil and water contamination. This resulted in public health risk and cattle deaths in and around its premises, the ED said.

“Money generated through environmental crime has further been used for business activities of the company,” it alleged.

The search operation resulted in the recovery of digital devices, “incriminating” documents and unaccounted cash totalling ₹78.15 lakh, it said.

Chief Minister Bhagwant Mann had in January, 2023 ordered immediate closure of the factory following an agitation by locals and farmers against the firm.

Gautam Malhotra was arrested by the ED in February last year in the Delhi excise policy linked money laundering case.