NSEL bank accounts frozen; bourse defaults for 7th time

Govt explores all options in its investigation into NSEL issue.

The Economic Offences Wing (EOW) of the Mumbai Police has frozen 58 bank accounts connected with the Rs 5,500-crore payment crisis at the National Spot Exchange Ltd (NSEL). More accounts are likely to be frozen as the investigation unfolds.

The NSEL said on Tuesday that it failed to execute its seventh weekly payout as its bank accounts,including the settlement account,were frozen. However,Rajvardhan Sinha,Additional Commissioner of Police (EOW) said,The escrow accounts in which their money is to be paid have not and will not be touched. There should be no confusion about this aspect.

The action comes a day after the police registered an FIR in connection with the payment crisis at NSEL,promoted by Jignesh Shah-led Financial Technologies.

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Meanwhile,the CBI has started an inquiry into the irregularities by NSEL. We have registered a preliminary inquiry to look into all aspects, said Kanchan Prasad,CBI spokesperson.

The EOW,which has registered a complaint against directors and trading members of the exchange,has been conducting search and seize at warehouses,offices and residences of the accused.

As of Tuesday evening,we have completed searches at 54 places in various parts of the country and they are still going on. The houses and offices of the chairmen of NK Proteins,Hyderabad,and Mohan India,Delhi were also searched on Tuesday,as were seven to eight warehouses, said Sinha.

We are basically dealing with the flow of money and trying to gauge the net worth at hand. The entire process of search and seizure will take at least two more days,after which we will begin analysing the data that our men have been tasked to collect, Sinha added.

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Meanwhile,more than 100 complainants claimed to have been allegedly cheated by NSEL on Tuesday. The number is expected to rise. The main complainant is Pankaj Sutar,who formed the NSEL Investors Forum and had approached the crime branch around a month ago.

Govt explores all options in its investigation into NSEL issue

Yogi Adityanath, Shri Ramswaroop Memorial University, police lathicharge, police lathicharge students, Indian express news, current affairs

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