Rs 52.8 crore wind farm owned by Nirav Modi attached

Mumbai: The Enforcement Directorate (ED) attached a "wind farm" worth Rs 52.8 crore owned by fugitive diamond businessman Nirav Modi in connection with its probe into the money laundering aspect of the Punjab National Bank fraud. The 9.6 megawatt plant is located in Jaisalmer, Rajasthan, and owned by three of Modi’s companies which are also alleged to have procured fraudulent letters of undertakings from PNB.

The wind farm has four wind mills which were being used for thermal electricity production since 2013. Officials said that the electricity produced by the wind farm was sold to the Rajasthan state electricity board. An ED officer said, “The company made anywhere between Rs 4 to Rs 5 crore annually, which was decent profit for a company that invested Rs 52.80 crore.”

The ED has issued a provisional order in connection with attachment of the wind farm. Officials said that the property is collectively owned by Stellar Diamonds, Solar Exports and Diamonds R US, along with Neeshal Merchandising Pvt. Ltd.

The ED has accused the first three companies of playing a role in procuring fake letters of undertaking from PNB. Modi defrauded PNB to the tune of over Rs 13,000 core by procuring 143 fraudulent letters of undertaking, the ED has claimed.

This is the second such attachment of wind farms belonging to Nirav and his companies. The ED had earlier attached a solar power plant located at Karjat.