The ED froze 67 accounts of Indian companies and businessmen

Provincial governor probes money laundering in Brazil: Suspicion of money transfer to Indians' bank accounts

New delhi date. Thursday, August 13, 2020

"Following Brazil's appeal, we have frozen 67 bank accounts of some Indian businessmen and companies," the Enforcement Directorate (ED) told the Delhi High Court. In Brazil, the provincial governor is under investigation for embezzling money.

The ED told the Delhi High Court that it had taken the action on the basis of a mutual understanding between India and Brazil and had not filed a case in the matter.

The ED had given this information to the Delhi High Court during the hearing of a petition filed on behalf of Hamilton Housewares Company. Last month, the ED froze the bank accounts of several companies and businessmen, including Hamilton Housewares.

Hamilton Housewares Pvt. Ltd. trades in plastics, thermo steel, thermoware, ceramic ware and glassware under the Milton brand name. The ED had on July 13 ordered the suspension of the company's bank accounts. It was stated in the order that the amount cannot be withdrawn from the account without the approval of the agency.

Counsel appearing on behalf of the company told the High Court that the company's business had come to a standstill due to ED's action. The prosecutor further said that the ED did not inform the company under what offense the action was taken and also did not inform whether a case has been filed in this regard.

The Brazilian government suspects that its provincial governor has transferred money to the bank accounts of some Indian companies and businessmen. Based on these suspicions, the Brazilian government appealed to India to suspend 67 bank accounts.

The companies whose bank accounts have been frozen include Hamilton Housewares, JK Tires, KP Sanghvi & Sons, Nancy Craft Pvt Ltd, Bharat Fashion & Apparels, Eastern Industries Ltd, Orbit Export Ltd, Shrenuj & Co. Ltd and RSWM Ltd.