A special PMLA court in Chennai has convicted four persons on money laundering charges and sentenced them to three years of rigorous imprisonment in a case of cheating traders, the Enforcement Directorate said on Friday.
The court of principal special judge (for CBI and ED cases) K Dhansekaran issued the conviction order on August 4 and also penalised the four with a fine of Rs 5,000 each.
“The Hon’ble Court also ordered for confiscation of the properties (worth Rs 71.16 lakh) attached by the ED under the Prevention of Money Laundering Act,” the ED said in a statement.
The agency had filed a chargesheet in 2016 against five people that included B Purushottaman, B Kamalam, A M Kaja Hussain, K Reshma and N Ajmal Khan.
It had booked the five after studying 7 FIRs filed against them by the Tamil Nadu and Andhra Pradesh Police who accused them of cheating funds worth Rs 2.77 crore.
Proceedings against B Kamalam were abated as she died during the course of trial, it said.
B Purushothaman and his associates A M Kaja Hussain and N Ajmal Khan were accused of “cheating” various suppliers, during 2002-11, by issuing post-dated cheques for the goods purchased from them, which when presented with the respective banks were dishonoured, it said.
They “illegally” earned money by issuing post-dated cheques without any funds in their bank accounts and later selling the said goods in the market and not paying back the due of the suppliers, thus cheating them, it said.