Directorate of Enforcement (ED), Patna Zonal Office has filed Prosecution Complaint (PC) in
connection with money laundering case related to Disproportionate Assets (DA) Case of Dr.Rajendra Prasad,
former Vice Chancellor, Magadh University and others. The PC is filed against 4 accused namely Dr.
Rajendra Prasad, Dr. Ashok Kumar (S/o Dr. Rajendra Prasad), Awadesh Prasad (brother of Dr. Rajendra
Prasad), and Pyari Devi Memorial Welfare Trust before the Hon’ble Special Court (PMLA), Patna on
15.04.2025, under the provisions of Prevention of Money Laundering Act (PMLA), 2002. The Hon’ble Court
has taken cognizance of the same on 15.04.2025.
ED initiated investigation on the basis of FIR registered by Special Vigilance Unit (SVU), Patna under
various sections of Prevention of Corruption Act, 1988 and IPC, 1860 against Dr.Rajendra Prasad and others.
FIR and chargesheet filed by SVU, alleged that Dr. Rajendra Prasad, during September 2019 to November
2021,while working as Vice Chancellor, Magadha University, Bodh Gaya acquired disproportionate assets
valued at Rs. 2,66,99,591/-.
In addition to this, during the investigation under PMLA, 2002, more assets valued at Rs. 64.53 Lakh
(approx.) were identified by ED which were acquired by Dr Rajendra Prasad during this period which is
nothing but the Proceeds of Crime (POC) generated by him.
ED investigation revealed that during September 2019 to November 2021, Dr.Rajendra Prasad used
this POC to acquire 05 properties in cash in the name of his son Dr. Ashok Kumar and R.P College
represented by his brother Awadhesh Prasad. The properties which were acquired in the name of R P
College have been finally transferred to Pyari Devi Memorial Welfare Trust on lease. Dr. Rajendra Prasad
also deposited the POC generated in cash in the Bank Account of Pyari Devi Memorial Welfare Trust (a
family owned trust of Dr. Rajendra Prasad) to portray it as income of the said trust. Investigation has revealed
that a well-planned conspiracy has been hatched by Dr. Rajendra Prasad involving his family members to
project the properties acquired with POC as untainted properties by using the said family owned Trust as a
conduit.
This POC attached by ED in the form of immovable properties in the hands of family members of Dr.
Rajendra Prasad and his family owned trust to the tune of Rs 64.53 Lakh (approx.).
Further investigation is under progress
Tag: NeomaxProperties
ED Attaches Rs. 121.80 Crore Properties in Tamil Nadu
Directorate of Enforcement (ED), Chennai Zonal Office has provisionally attached movable and
immovable properties in various places across Tamil Nadu valued at Rs. 121.80 Crore on 09.04.2025
under the provisions of Prevention of Money Laundering Act (PMLA), 2002 in the case of Neomax
Properties Private Ltd., and its group companies viz. Garlando Properties Private Ltd., Transco Properties
Private Ltd., Tridas Properties Private Ltd., Glowmax Properties Private Ltd. and its Directors/shareholders
viz. Kamalakannan, Balasubramanian, Veerasakthi, Charles and others. The market value of the
attached properties is around Rs. 600 Crore. This attachment follows the Provisional Attachment of
properties valued at Rs. 117 Crore on 15.12.2023 by ED that has been confirmed by the PMLA
Adjudicating Authority, wherein the market value of those properties was Rs. 207 Crore.
ED initiated investigation on the basis of the FIR registered by the Economic Offences Wing (EOW),
Madurai, against Neomax Properties Pvt. Ltd., and its Group companies, which allegedly cheated several
investors into depositing lakhs of money in various projects (Real estate plot development) by promising
high returns up to 12% to 30% interest, ultimately cheating them by not giving the promised returns/plots.
ED investigation revealed that M/s Neomax Properties Private Ltd. and other group companies
under the ambit of “Neomax Group” collected huge funds majorly in the form of cash, from thousands of
the investors and diverted these funds to shell entities, group companies indulged into Hotels & Resorts,
Multi-Speciality Hospitals, Pharma Distribution, Construction, Retail Business, Departmental Store,
Renewable Energy, Information Technology, Automatic Vending Machine Sales, Battery Refurbishment,
E-Commerce, Logistics, Furniture Manufacturing and sales, Aerospace Services – Helicopter/ Charter
flight Hiring services, Education, Wellness Garments / Casual Wear Sales, Restaurants, Fashion
Jewellery and other entities (outside the group). Neomax Group owes around Rs. 8,000 Crore including
the promised returns to the depositors/investors. The group has cheated the investors by alluring them
with high returns and diverted the funds collected in to the entities dealing in other businesses.
Furthermore, they avoided repayment and instead forced/ allured the depositors to redeposit their maturity
amount.
Further investigation is under progress.