Enforcement Directorate Freezes Over ₹1,000 Crore in Goa Mining Scandal: What You Need to Know

Major Asset Seizure in Goa's Illegal Mining Case

New Delhi: The Enforcement Directorate (ED) announced on Sunday that it has seized assets exceeding ₹1,023 crore linked to an alleged illegal iron ore mining operation in Goa, which includes properties in Singapore.

A provisional order was issued on June 19 under the Prevention of Money Laundering Act (PMLA) concerning extensive illegal mining activities conducted by the Salgaocar Group and its associates, known as the AVS Group.

The seized assets comprise 99 properties in India valued at ₹459.10 crore, 31 properties in Singapore worth ₹471.32 crore, and equity shares in various Indian firms totaling ₹93.42 crore, held under the names of the Estate of Late Anil Salgaocar and several associated companies.

The overall value of the confiscated assets amounts to ₹1,023.85 crore.

This investigation into money laundering originated from a FIR filed by the Goa Police CID. The ED noted that the Supreme Court ruled in 2014 and 2018 that all mining activities in Goa conducted after November 22, 2007, until new mining leases were issued, were illegal.

The agency's findings revealed that the AVS Group operated ten mining leases between 2007 and 2012, generating illegal proceeds of ₹2,492.95 crore from the extraction, sale, and export of iron ore.

The illegally mined ore was reportedly exported at significantly undervalued prices to shell companies based in the British Virgin Islands, which acted as mere intermediaries and resold the ore to China, resulting in additional offshore trade profits of ₹2,744.89 crore.

The total estimated proceeds of crime stand at ₹5,237.84 crore, according to the ED.

The agency further alleged that these funds were funneled through special purpose vehicles (SPVs) based in BVI and Singapore, used to acquire substantial assets abroad, and partially routed back to India disguised as share capital.