ED attaches Rs 172-crore assets of Winsome Diamonds

NEW DELHI: Enforcement Directorate on Tuesday attached assets worth Rs 172 crore of a diamond firm in connection with its money laundering probe in a major bank default case involving Rs 6,800 crore.

The order issued by ED includes seizure of both movable and immovable properties of the firm, identified as Winsome Diamonds and Jewellery Limited, under the provisions of the Prevention of Money Laundering Act ( PMLA).

While the firm has its registered office in the diamond city of Surat in Gujarat, it is headquartered in Mumbai.

As per data, of the total Rs 6,800 crore of debt and loans, Winsome owes Rs 4,680 crore to a consortium of lenders headed by Standard Chartered Bank.

Its associate firm Forever Precious Diamonds and Jewellery owes another Rs 2,121.82 crore to a set of banks led by PNB.

Once a top diamond firm, Winsome, promoted by Jatin Mehta, is being probed both by the Enforcement Directorate and CBI.

Its troubles started in January 2013, when 13 of its UAE-based distributors controlled by a Jordanian national failed to pay Rs 4,760 crore to the company, according to its 2012-13 annual report.

Following this, four foreign banks led by Standard Chartered, encashed the bank guarantees worth Rs 4,000 crore.