The firm that managed IPL team Kochi tuskers, which played in 2011 IPL (Indian Premier League), is under the ED (Enforcement Directorate) scanner. As per The Indian Express, the ED wants to examine chief financial officers or accountants of Rendezvous Sports World Pvt Ltd under the Prevention of Money Laundering Act (PMLA) in connection with an alleged Rs 220-crore bank fraud. The fraud was perpetrated by Vimal Barot, a top official of Mumbai-based Showman Group, at a Dena Bank branch in Mumbai. PG Foils Ltd, Essel Shyam Technologies P Ltd and a few other companies are also under ED scanner.
As per sources, Vimal Barot, senior vice-president of Showman Group, who is currently in jail, allegedly got seven firms to invest in fixed deposits with Dena Bank branch. It is alleged that Barot with the involvement of the bank manager opened an overdraft (loan) account in the names of these fixed deposit holders, borrowed money against the deposits and siphoned off Rs 220 crore from the bank. Barot allegedly transferred the ill-gotten money into the accounts of over half a dozen organisations, including Rendezvous, PG Foils and Essel Shyam Technologies. The case was transferred to the CBI, which filed its charge sheet in 2015. The ED simultaneously began its probe into the case.
“The probe agency wants to examine the CFOs of these organisations to gather evidence and identify the properties purchased through the proceeds of crime. The probe has found that deposits at other public sector banks were diverted by Barot in the same way,” sources were quoted saying by IE. A spokesperson of Rendezvous Sports World stated told IE that the firm signed an official agreement with UVI Film Production Pvt Ltd, controlled by Barot’s wife, for equity investment. “An amount of Rs 6.1 crore has been received through RTGS in the company’s bank account from Dena Bank. Since it was through the RTGS mode, it made it impossible to understand that they had cheated the company,” said the spokesperson.