Crime
ED seizes unlisted shares worth Rs 293.91 cr of ‘MGM’ Maran
The Enforcement Directorate (ED) on Tuesday said it has seized assets worth Rs 293.91 crore belonging to Tamilnad Mercantile Bank’s (TMB) former Chairman Nesamanimaran Muthu alias MGM Maran under the Foreign Exchange Management Act (FEMA).
According to the ED, the seized assets are in the form of shareholdings in four Indian companies, namely, the Southern Agrifurane Industries Private Ltd, Anand Transport Private Ltd, MGM Entertainment Private Ltd, and MGM Diamond Beach Resorts Private Ltd.
Incidentally, the three of the companies are unlisted entitites.
The ED said Maran had incorporated two companies in Singapore during 2005-06 and 2006-07 and invested Singapore $5,29,86,250 equivalent to Indian Rs 293.91 crore, but the investment was made without Reserve Bank of India’s (RBI) permission and non-disclosure to Indian regulators.
According to the agency, the provisions of Section 37A(1) empowers it to seize Indian asset of a person who has acquired assets in foreign country or made investment outside India without the approval of the RBI while he was a person resident in India.
Since the amount of foreign investment was SGD 5,29,86,250, the assets of equivalent value thereof of Rs 293.91 crore has been seized, it said.
Last year, the Adjudicating Authority under the FEMA had levied a penalty of Rs 35 crore on Maran for opening a bank account in Singapore and receiving foreign exchange to the tune of US$ 68,50,000 (equivalent to Rs 28.08 crore) in that account from a foreign entity.
The said payment is the consideration for facilitating and assigning the rights towards transfer of shares of the TMB in favour of Katra Holdings Ltd, consequent to a private agreement with that company. The penalty is also for failing to repatriate the said foreign exchange into India, the ED had said then.
The Adjudicating Authority had also fined Standard Chartered Bank Rs 100 crore and the TMB Rs 17 crore.
The ED had taken up the probe under FEMA based on reference received from the RBI to investigate advance remittances received by certain entities for purchase of the shares of the Tuticorin-headquartered TMB through escrow mechanism maintained with Standard Chartered Bank, Mumbai.
Following the probe, the ED had issued show cause notice to the TMB, its directors, Standard Chartered Bank and one of its officials for contravening FEMA.
In his adjudication order, the Special Director, ED, Southern Region imposed a penalty of Rs 11.33 crore on the TMB for recording in its books the transfer of 46,862 shares of the bank in the names of seven foreign entities viz. (i) RST Ltd (wholly owned by Ravi S. Trehan), Katra Holdings Ltd (wholly owned by Ramesh Vangal), GHI I Ltd (wholly owned by Rajat Gupta), Kamehameha (Mauritius) Ltd, FI Investments (Mauritius) Ltd, Cuna Group (Mauritius) Ltd, and Swiss Re Investors (Mauritius) Ltd.
The above seven entitities were not approved by the RBI for acquiring the shares of TMB.
A further penalty of Rs 5.66 crore was imposed on the TMB for its act of recording in its books, the subsequent transfer of 27,289 shares out of the above 46,862 shares in the names of two foreign entities – Sub-Continental Equities Ltd, Mauritius and Robert & Adris James Company Ltd, Mauritius, without the permission of the RBI.
Penalty has also been imposed on the directors of the Board of the TMB, who approved the recording of the transfer of shares of the bank.
The Standard Chartered Bank was held guilty of contravening FEMA for opening the Standard Chartered Bank Project Windmill (Sale Consideration) Escrow Account, without the RBI’s prior permission and for allowing deposits of Rs 113 crore and for having held 1,12,151 shares of the TMB in the said escrow account.
A penalty of Rs 34 crore was levied on the bank for the above contraventions.
Another Rs 66 crore penalty was levied on the Standard Chartered Bank for providing collateral/guarantee/taking into custody of TMB shares and original sale deeds of land in lieu of which Standard Chartered Bank, Mauritius granted a loan of US$ 55.40 million (equivalent to Rs 221 crore) to three foreign entities viz, Katra Holdings Ltd, Mauritius, RST Ltd, Cayman Islands, and GHI I Ltd, Cayman Islands, without any special permission from the RBI.
Crime
Maharashtra: Two Arrested For Running Illegal Online Gaming Apps, Duping Users With False Profit Promises

The police have launched an investigation against two persons who used illegal online gaming platforms to dupe people by inducing them to use the gaming apps and promised them huge profits.
According to the police, the complainant is assistant police inspector S.B. Kasule (40), a resident of Dharashiv. The police had received information about two persons who were duping people by giving false promises of providing high returns on playing online games.
Accused Lured Victims via WhatsApp with Login IDs and Promises of High Returns
The police who were armed by the mobile numbers of the accused persons, then tracked the location and found the accused persons operating at Talwale village and found to be running three illegal online gaming platforms which promoted gambling. Their questioning of the accused persons further revealed information about two other persons from Beed and Nanded who had provided them with a login ID and password to use the gaming platforms.
Cyber Crime Police Register Case Under IT Act and Gambling Laws
“Analysis of their WhatsApp data has revealed that they had provided gaming app links through WhatsApp to several people and induced them to play games by giving them login ID and password and took money from them online by promising them good returns,” said a police officer. A case has been registered by the cyber crime police recently 318 (cheating) of Bharatiya Nyaya Sanhita, sections 66C (identity theft), 66D (cheating by personation by using computer resource) of the Information Technology Act and provisions of Maharashtra Prevention Of Gambling Act.
Cops Caution Public Against Unverified Gaming Apps, Share Cyber Safety Tips
“Download apps only from authentic sources such as Google Play, Apple Store and official websites. Ensure that app permissions requested by the game app are relevant and necessary, check the game app publisher’s information to ensure website legitimacy, never share your personal information such as bank account details with game app and beware of in-app purchases and subscription offers that seem too good to be true. Report any suspicious activity to the game developer and to the payment provider immediately and if any such game scam occurs call 1930 or report a complaint on www.cybercrime.gov.in,” said a police officer.
Crime
Mumbai Crime: Vasai Man Kills Stepmother For Refusing To Pay ₹1.8 Lakh For His Online Gaming, Father Helps Cover-Up Murder

Vasai (Maharashtra): In a chilling case from Vasai, which is 25 kilometres away from Mumbai, the Mira Bhayandar Vasai Virar (MBVV) police arrested a 32-year-old man for allegedly murdering his 61-year-old stepmother after she refused to give him money to continue playing an online game. The accused’s father has also been arrested for his role in helping cover up the crime.
Family Claimed Elderly Woman Died Due To Fall, Last Rites Conducted
The victim, Arshia Khusru, was a resident of Periyar Apartment in Vasai West. She died on July 26 and her family claimed she had suffered a fatal fall. Based on that account, her last rites were conducted without a postmortem. However, discrepancies in the circumstances surrounding her death led the police to launch an investigation.
During the probe, officers arrested Imran Khusru, Arshia’s stepson, who later confessed to the murder. Imran was deeply addicted to an online game and desperately needed Rs 1.8 lakh to fund his gaming.
When Arshia refused to give him the money, an enraged Imran allegedly slammed her head against a wall corner and kicked her in the face, leading to fatal injuries. After committing the crime, he is said to have stolen her gold jewellery.
Accused’s Father Helped In Covering Crime
The case took a darker turn when police discovered the involvement of Imran’s father, Amir Ismail Khusru (65), in attempting to destroy evidence and mislead authorities. Amir allegedly used his personal connections to procure a fake death certificate stating that Arshia had died from a fall. He then persuaded the family to proceed with her funeral based on the false cause of death, avoiding an autopsy.
Cops say the father-son duo went to great lengths to cover up the murder. It was only through persistent efforts by the police that the truth came to light. The stolen jewellery and other key evidence have reportedly been recovered. Both accused are currently in custody, and the investigation is ongoing.
Crime
Palghar Police Bust Prostitution Racket In Vasai; 3 Bangladeshi Nationals Held, 2 Victims Rescued

Palghar: In a significant operation against human trafficking, Palghar police have uncovered a prostitution racket being run from a residential flat in Naigaon, Vasai. Three Bangladeshi nationals were arrested, and two victims, including a minor girl, were rescued, officials confirmed on Tuesday.
About The Case
Acting on a tip-off, the Anti-Human Trafficking Cell of the Mira Bhayander–Vasai Virar police conducted a raid on July 26 at a flat in Naigaon, located in the Vasai area.
According to ACP (Crime) Madan Ballal, officers found a minor girl at the scene who was allegedly being pushed into the flesh trade. A 21-year-old woman, also a victim of the racket, was rescued from the same premises.
The arrested accused have been identified as Mohammad Khalid Bapari, Juber Harun Sheikh, and Shamin Gaffar Sardar, all Bangladeshi nationals. Police say the victims, too, are from Bangladesh and were reportedly trafficked into India and forced into sex work.
Both victims have been shifted to a shelter run by the Rescue Foundation for their care and rehabilitation.
An FIR has been registered against the accused under relevant sections of the Bharatiya Nyaya Sanhita (BNS), including Sections 96 (procuration of child), 98 (selling child for purposes of prostitution), 143(3) and 143(4) (trafficking), and 144 (exploitation of trafficked person). Additional charges under the Protection of Children from Sexual Offences (POCSO) Act and the Immoral Traffic (Prevention) Act have also been applied.
The investigation is ongoing.
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