The federal probe agency recently registered a criminal case under the Prevention of Money Laundering Act (PMLA), taking cognisance of about 30 UP Police FIRs related to the misuse, illegal manufacturing, trade and transport of CBCS, including smuggling across the Bangladesh border
ED officers said the estimated proceeds of crime under the PMLA amount to around Rs 1,000 crore. Representational Pic
The Enforcement Directorate (ED) on Friday conducted raids across multiple states as part of a money-laundering investigation into an alleged illegal codeine-based cough syrup (CBCS) trafficking racket in Uttar Pradesh, officials said, reported news agency PTI.
More than 25 locations were searched in Lucknow, Varanasi, Jaunpur and Saharanpur, as well as in Ranchi and Ahmedabad, they added.
According to the PTI, the raids targeted premises linked to the “absconding” prime accused, Shubham Jaiswal, his Chartered Accountant Vishnu Aggarwal, and alleged associates, including dismissed UP Police Constables Alok Singh, Amit Singh, and Vishal Singh. Several godowns, offices and shops belonging to manufacturers, distributors and stockists connected to CBCS trading were also covered during the operation.
The federal probe agency recently registered a criminal case under the Prevention of Money Laundering Act (PMLA), taking cognisance of about 30 UP Police FIRs related to the misuse, illegal manufacturing, trade and transport of CBCS, including smuggling across the Bangladesh border, PTI reported.
CBCS is widely abused as an intoxicant, and one such syrup, Phensedyl, is smuggled into Bangladesh in large quantities through the international border. This category of cough syrup falls under Schedule H and can only be sold with a doctor’s prescription.
ED officials said the estimated proceeds of crime under the PMLA amount to around Rs 1,000 crore.
During the searches, officials recovered 46,891 CBCS bottles from a company office in the Transport Nagar area of Lucknow, along with computer devices and documents from all locations.
According to officials, the ED found several dilapidated buildings and fake addresses when attempting to raid the premises of companies allegedly involved in “illegal” CBCS trade worth crores, reported PTI.
Shubham Jaiswal is believed to have fled to Dubai, while his father, Bhola Prasad Jaiswal, was recently arrested by UP Police at Kolkata international airport while allegedly attempting to flee abroad.
A total of 32 people have been arrested by state police so far, which has also constituted a Special Investigation Team (SIT) to probe the racket, the officials said.
UP Director General of Police (DGP) Rajiv Krishna told reporters earlier this week that the investigation had exposed a network of major “super stockists” allegedly involved in the illegal diversion of the “highly regulated” CBCS.
(With PTI inputs)
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