The Enforcement Directorate (ED) conducted search operations on Wednesday, at various locations in Mumbai, Surat, and New Delhi as part of an ongoing investigation against M/s Iceworth Reality LLP and other entities. The search operations were conducted under the Prevention of Money Laundering Act (PMLA), 2002, ED officials said in a statement released on August 2.
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Movable properties in the form of diamonds, bank funds, demat account holdings, and cash to the tune of approximately ₹38.57 crore have been seized, frozen, and various incriminating documents, digital devices have been recovered and seized during the search operations.
“The investigation was initiated on the basis of a complaint under various sections of Securities and Exchange Board of India Act (SEBI Act), 1992. The case pertains to manipulation of stock prices of the scrip of Sunrise Asian Limited (SAL) by M/s Iceworth Reality LLP and other accused persons/entities in collusion with several inter-connected group entities thereby making unlawful profits at the expense of bona fide investors,” an ED officials said.
“Furthermore, the increase witnessed in the price of the scrip during the investigation period was not in synchronisation with the actual financial performance of the company and was solely on account of the manipulations committed by the group entities,” the ED officials added.
The anti-money laundering agency’s investigation revealed that several entities and individuals had derived huge profits by manipulating the prices of the scrip of Sunrise Asian Limited (SAL) while causing loss to the genuine investors. “The illegal profits derived in this manner were routed through the accounts of different entities and individuals with some of them being engaged in the business of diamond trading. The case is being further probed,” an ED official said.