The Enforcement Directorate (ED) has taken into custody Prateek Kanakia, the founder of private firm The Green Billions Ltd (TGBL), in a significant money laundering case linked to the Pune Waste to Energy Project. The agency alleges a massive misappropriation of funds amounting to Rs 47.32 crore, which were meant for the project's execution.
Forged Invoices and Lavish Spending
According to the ED's complaint, the funds were siphoned off through the creation and use of forged and dummy invoices. The agency claims that the misappropriated money was not used for its intended environmental purpose but was instead diverted for purchasing luxury cars and high-end properties. Kanakia was produced before the special PMLA court on Tuesday, which remanded him to ED custody until January 9.
A Wider Conspiracy and CBI Charges
The ED's case is built upon an earlier fraud investigation involving the former Chairman and Managing Director (CMD) of Broadcast Engineering Consultants India Limited (BECIL), a government enterprise, and other individuals. Notably, Prateek Kanakia was also arrested earlier by the Central Bureau of Investigation (CBI) in connection with the same scandal.
In its submission to the court, the ED stated, "the prime accused, Mr. Prateek Kanakia, along with co-accused conspired a grave offence, by generating proceeds of crime, affecting the country's economy. Such kind of offences are more dangerous than any other offence for a developing country."
The Scale of the Alleged Fraud
Seeking his custody, the ED presented details from the chargesheet filed by the CBI and the Anti-Corruption Bureau (ACB), along with its own investigation. The agency revealed that a total of Rs 250 crore was advanced by BECIL to M/s The Green Billions Limited for the execution of the Pune Waste to Energy Project.
Out of this substantial amount, only Rs 2.68 crore was returned by TGBL to BECIL during the Financial Year 2022-2023. The ED alleges that the remaining funds were misappropriated by TGBL and its promoter, Prateek Kanakia, in collusion with their associates. The arrest marks a crucial step in the probe into the alleged diversion of public funds meant for a critical waste management initiative.
