CHENNAI: The Enforcement Directorate (ED) has taken possession of the entire shares of MGM Maran and MGM Anand at the MGM Group as well as 3.31% equity shares of Maran from the Tamilnad Mercantile Bank Ltd under the Money Laundering Act.
The shares of the MGM brothers in Southern Agrifurane Industries Private Limited, Anand Transport Private Limited, MGM Entertainment Private Limited and MGM Diamond Beach Resorts would come under ED’s control.
MGM Maran, who was the chairman of Tamilnad Mercantile Bank Limited (TMBL) in 2007, and other directors facilitated a deal of sale of 23.60% shares of TMB from Indian shareholders to unauthorised overseas persons, said the ED.
It was also found that MGM Maran acquired undisclosed foreign investments of Rs 293.91 crore directly outside India during the same period. Such undisclosed investments were without the approval of the RBI as well as from unexplained and highly dubious sources.
The ED investigation revealed that MGM Maran, soon after being subjected to ED investigation, started moving his wealth to outside India with sole objective of keeping the same out of the reach of Indian law enforcement agencies in the garb of overseas direct investments (ODI) and in pursuance of the same had got Cyprus citizenship in 2016.
In 2022, the ED attached the entire shareholding of both MGM Maran and MGM Anand in all prominent MGM Group of companies in India, land and buildings in Southern Agrifurane Industries Pvt Ltd as well as shareholding of Maran in TMBL being 3.31 %. The order was confirmed by the adjudicating authority in June this year.
The shares of the MGM brothers in Southern Agrifurane Industries Private Limited, Anand Transport Private Limited, MGM Entertainment Private Limited and MGM Diamond Beach Resorts would come under ED’s control.
MGM Maran, who was the chairman of Tamilnad Mercantile Bank Limited (TMBL) in 2007, and other directors facilitated a deal of sale of 23.60% shares of TMB from Indian shareholders to unauthorised overseas persons, said the ED.
It was also found that MGM Maran acquired undisclosed foreign investments of Rs 293.91 crore directly outside India during the same period. Such undisclosed investments were without the approval of the RBI as well as from unexplained and highly dubious sources.
The ED investigation revealed that MGM Maran, soon after being subjected to ED investigation, started moving his wealth to outside India with sole objective of keeping the same out of the reach of Indian law enforcement agencies in the garb of overseas direct investments (ODI) and in pursuance of the same had got Cyprus citizenship in 2016.
In 2022, the ED attached the entire shareholding of both MGM Maran and MGM Anand in all prominent MGM Group of companies in India, land and buildings in Southern Agrifurane Industries Pvt Ltd as well as shareholding of Maran in TMBL being 3.31 %. The order was confirmed by the adjudicating authority in June this year.
