Tamil Nadu: In More Trouble For DMK Minister K Ponmudy, ED Files Chargesheet Against His Son Gautham Sigamani In Red Sand Quarrying Case

The Enforcement Directorate (ED) today (23 August) filed a chargesheet against senior Dravida Munnetra Kazhagam (DMK) minister K Ponmudy's son P Gautham Sigamani in connection with the case against him for laundering the proceeds from excess quarrying of red sand.

The chargesheet was filed against Sigamani and six others at the Principal Sessions Court in Chennai.

Sigamani is a Lok Sabha MP from Kallakurichi.

A statement issued by the ED after raids at the premises of Ponmudy, his son Sigamani and their associates stated "The proceeds obtained from illegal mining were deposited in benami accounts and were layered through multiple transactions and accounts.

"Eventually, two overseas entities, namely PT Excel Mengindo in Indonesia and M/s Universal Business Ventures FZE in the UAE, were acquired.

"The Indonesian company, was shown to have been purchased for a nominal amount of Rs. 41.57 lakh, was later sold for over Rs. 100 Crore in 2022. It is suspected that huge amounts of cash was transferred through hawala & infused in purchase of these overseas entities."

An amount of Rs 41.9 crore held in the form of a fixed deposit was frozen as it was found to be a part of the proceeds of crime.

The ED also seized Rs 81.7 lakh of unaccounted cash and foreign currency worth around Rs 13 lakh during the raid.

The case against them was filed for causing a loss of Rs 28.37 crore to the state exchequer by mining 2,46,646 units of red sand more than what was permitted. The case is continuing at the MP/MLA Special Court in Villupuram.

The chargesheet against Sigamani comes days after the Madras High Court took up suo moto revision of the acquittal of Ponmudy in a case relating to disproportionate assets. The matter is scheduled to heard by the Court on 7 September.

Also Read: "A Manifest Illegality By A Criminal Court"- Madras HC's Scathing Remarks As It Takes Up Suo Moto Revision Of DMK Minister Ponmudy's Acquittal From DA Case