Money Laundering Case Filed by ED Against This Luxury Car Company

The Enforcement Directorate (ED) has lodged a corruption case against London-based luxury car company Rolls-Royce. This action has been taken in the case of allegedly bribing Rs 75 crore to a middleman to sell cars to public sector companies in India. Prior to this, the CBI has also registered a case against Rolls-Royce.

It is alleged that Rolls Royce commissioned the agent to get the contract to sell the car between 2007 and 2011 from Oil and Natural Gas Corporation (ONGC), Hindustan Aeronautics Limited (HAL), and GAIL India. Under the Prevention of Money Laundering Act in this case, an FIR has been filed against Rolls-Royce in July itself. An ED official told Aaj Tak-India Today, “We have lodged the ECIR based on the CBI’s FIR and have started the investigation.”

The investigation against Rolls-Royce began in 2014, when the Ministry of Defense asked the CBI to conduct a preliminary inquiry into the allegations. This year, the CBI launched criminal conspiracy and bribery against Rolls-Royce and the Indian subsidiary, the Singapore-based businessman Ashok Patni and the company Ashmore Private Limited, Mumbai-based Company Turbotech Energy Services International Private Limited and HAL, ONGC, GAIL Had filed a case.

According to the CBI FIR, Rolls-Royce paid 10 to 11 per cent commission to Patni’s company for a contract of Rs 286.55 crore from HAL between 2007 and 2011. Rolls-Royce gave 18 crore Rs to Patni’s company as ‘Commercial Advisor’. This commission was given to HAL to supply 100 Avon and Allison engines and its parts.

The HAL engine division placed purchase orders worth Rs 4,455 crore between 2000 and 2013 to Rolls-Royce. Patni was the Rolls-Royce commercial advisor in India during this time. Similarly, in ONGC related business, Rolls-Royce paid commissions on 38 transactions made between 2007 and 2011. The deal was worth about Rs 4,700 crore.

A professional blog/news writer having more than 3 years of industry experience. Suzanne is a proud holder of Master’s Degree in Literature and has knack of reading and loves the Novels. She has helped many organizations with research writing and successfully converted her passion into profession. She is extremely social and is an ardent dog-lover. Suzanne has quite a girl-next-door personality who is fun loving and very positive in nature.