The economic offences wing (EOW) of Mumbai Police has arrested 31 accused, including defaulting borrowers and brokers, in the Rs. 5,600 crore NSEL scam, the Centre informed Parliament.
Capital markets regulator SEBI has completed audit of books of accounts of five commodity brokers whose names appeared in the interim report of the EOW. Thereafter, the show cause notice was issued on October 28, it said.
Asked if the government has taken action against all the defaulters and brokers, Minister of State for Finance Arjun Ram Meghwal said in the Rajya Sabha: “EOW, Mumbai Police has arrested 31 accused including 22 defaulting borrowers, six NSEL key management personnel and three brokers.”
The charge sheets have been filed against the accused in the court under the Maharashtra Protection of Interest of Depositors (in Financial Establishments) Act, 1999, he said in a written reply to the Upper House.
Various agencies including the EOW and Enforcement Directorate enquiring into the National Spot Exchange Ltd (NSEL) related payment and settlement crisis case, he added.
On action taken to recover money from NSEL defaulters, the minister said that the EOW has are ported that they have attached assets worth Rs. 8,583.05 crores, approximately under various provisions of MPID Act.
“Rs. 527.19 crores have been distributed to investors, 608 investors having invested less than Rs. 2 lakhs have been fully paid, 50 per cent of the invested amount has been distributed to investors who invested between Rs. 2 lakh and Rs. 10 lakhs and 6 per cent amount distributed to investors who invested between Rs. 10 lakh and Rs. 5 crore and above,” he said.
Besides, 19 provisional attachment orders involving assets worth Rs. 8,37.01 crores against 12 NSEL defaulters have been issued by the Directorate of Enforcement.
“All these attachment orders have been confirmed by the adjudicating authority under the Prevention of Money Laundering Act, 2002. A prosecution complaint has also been filed before the Special Court against NSEL and 67 other accused persons,” Meghwal said.
That apart, Securities and Exchange Board of India (SEBI) has completed audit of books of accounts of five commodity derivative brokers whose names appeared in the interim report of EOW, Mumbai Police.
“Thereafter, the designated authority, appointed by SEBI for conducting enquiry into the matter, issued show cause notice on October 28, 2016,” he said.