Vinesh Chandel, director of Indian Political Action Committee (I-PAC), was remanded to 10-day custody of the Enforcement Directorate (ED) by Delhi's Patiala House Court late Monday night. The hearing stretched into the early hours of Tuesday, officials said, as investigators outlined allegations of financial irregularities involving the political consultancy firm.
Arrest linked to coal mining case
Chandel was arrested in Delhi in connection with a money laundering probe tied to alleged illegal mining and transportation of coal in West Bengal. The action was taken under the Prevention of Money Laundering Act (PMLA), more than a week after the ED carried out searches at his residence and other linked premises on April 2.
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Officials said the probe was initiated based on a Delhi Police case.
Per Hindustan Times, one official stated, "The ED initiated the investigation based on the Delhi Police case. Investigation conducted so far has revealed multiple instances of I-PAC's financial irregularities and various modes of money laundering, including receipt of accounted and unaccounted funds, receipt of unsecured loans without any business credentials, issuance of bogus bills and invoices, receipt of funds from third parties, and movement of cash through hawala channels, including international hawala."
Allegations of Rs 50 crore laundering
According to investigators, the firm was allegedly involved in laundering proceeds of crime worth around Rs 50 crore. The same official added, "The amount detected so far is about Rs 50 crore."
Another official said statements of individuals linked to the transactions had been recorded, and material evidence was gathered during the searches.
"Searches were also conducted (on April 2) and incriminating material was gathered. Chandel's role has emerged in the offence under investigation. Under the relevant provisions of law, directors of a company are liable where the offence has been committed with their consent, connivance or attributable neglect," the official was quoted as saying by HT.
The ED has also alleged that about Rs 20 crore generated from the suspected coal mining racket was routed to I-PAC through hawala channels.
Political reactions and firm's response
Earlier this year, Mamata Banerjee accused the ED of obstructive actions during searches at I-PAC offices, alleging attempts to remove evidence. She claimed the agency targeted the firm, which works with the Trinamool Congress, to access party data ahead of elections.
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I-PAC, however, maintained that its role is limited to professional political consulting. In a statement, it said, "We believe this (the raids) raises serious concerns and sets an unsettling precedent. Regardless, we have extended full cooperation... engaging with the process in complete accordance and respect for the law."
