The Enforcement Directorate (ED) on Wednesday said it carried out searches at eight locations in Sikkim, Kolkata, Delhi and Mumbai in the Sikkim MCX Fraud case.
The locations include various premises of Limited Liability Partners (LLPs) in Sikkim, which were controlled by brokers trading in MCX and NSE in Kolkata and Delhi.
A total amount of Rs 4.65 crore was frozen from the bank accounts of brokers that corresponded to the undue gain availed by such brokers by illegally availing Stamp Duty Exemption.
Further, the premises of various stockbrokers in Delhi and Mumbai, where many fake Sikkim-based traders were registered, were also searched.
Incriminating evidence relating to such traders was recovered. ED initiated a money-laundering investigation on the basis of the First Information Report registered on May 17 by the Sikkim Vigilance Police Station against unknown persons and companies based on a complaint filed by one resident of Gangtok, Sikkim.
It has been alleged in the FIR that the disproportionate data in MCX trading from Sikkim is highly doubtful and some Limited Liability Partners (LLP) companies and private individuals and traders from other states of India are doing high-frequency MCX trading either using the identity of Sikkim residents or using co-location of Sikkim illegitimately for taking undue advantage of the Income Tax and Stamp Duty exemption given to the people of Sikkim.