Ambience Mall owner Gehlot attempted to conceal diversion of funds: ED tells Delhi Court

The Enforcement Directorate (ED) told a court here on Thursday that Ambience mall owner Raj Singh Gehlot has given false statements, concealed information, and misled the probe against him in connection with alleged bank fraud. 

"Throughout the course of the investigation, statements of Raj Singh Gehlot were recorded wherein he had continuously tried to mislead the investigation and was giving false statements and concealing information which was contradictory to the actual facts of the case," said the federal probe agency in its remand application seeking 14 days custody of Gehlot. 

It further stated that the probe revealed that Gehlot had tried to conceal any diversion that was done with respect to the loan amount. 

"Upon further investigation, the documentary evidence collected revealed that the details submitted by Raj Singh Gehlot were false and misleading made with an objective to conceal the diversion of funds," the ED said. 

The documents which are exclusively accessed by Republic TV further states that the probe against Gehlot and his companies revealed that out of the total loan amount of 810 cr., taken for the hotel project, ₹781 cr. was transferred to an escrow account. 

"Moreover, an amount of ₹443 cr. out of the ₹ 781 cr. was transferred to 21 entities and Rs. 49 Crores to 4 individuals. These 21 entities and 4 individuals did not provide any services or goods for the hotel project which was the stated purpose of the said loan," the ED alleged.

The probe further revealed that Gehlot was himself connected to these 25 entities. "...almost all of them were controlled by Raj Singh Gehlot in as much as the directors/Owners therein were employees of Ambience Group Companies or relatives of Gehlot and he was the Introducer as well as the Authorized Signatory in most of these entities," the ED said. 

Gehlot was arrested by the Enforcement Directorate in an alleged bank loan fraud case on Thursday. According to ED, the case against Gehlot was registered in 2019 for money laundering in the construction of a five-star Leela Ambience Convention Hotel situated near Yamuna Sports Complex in Delhi.

The probe revealed that Gehlot and his associates siphoned off a huge portion of the money sanctioned by a consortium of banks for the hotel project through a maze of companies controlled by them.