A special PMLA court in Delhi has issued notices to Videocon Group promoter Venugopal Dhoot and 12 other entities after taking cognisance of a chargesheet filed by the Enforcement Directorate (ED) in connection with an alleged ₹61,700 crore bank loan fraud linked to overseas oil and gas assets in Mozambique.
The ED said the prosecution complaint was filed on December 18, 2024, and the special court at Rouse Avenue took cognisance of the case on February 10. The agency has alleged systematic diversion of foreign currency loan facilities from their sanctioned purpose.
According to the probe, loan facilities including the standby letter of credit (SBLC) sanctioned by an SBI-led consortium, the Jupiter facility and funding from Standard Chartered Bank were meant for development and refinancing of overseas oil and gas projects. However, the funds were allegedly routed through multiple group entities and transferred to unrelated accounts.
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The ED has claimed that the diversion was carried out under the direction of the promoters with the involvement of overseas subsidiaries and intermediaries. The money was first moved through Videocon Hydrocarbon Holdings Ltd and its foreign subsidiaries and then layered through several offshore entities before being brought back to India.
Investigators allege that instead of being used for oil and gas projects, the funds were utilised for other business expenses, investments and creation of personal and corporate assets. The agency has quantified the alleged proceeds of crime at ₹1,136.49 crore.
Banking records show that Videocon Industries Ltd and its group companies were declared NPAs in 2018. A consortium of banks filed total claims of ₹61,773.02 crore, including ₹23,647.12 crore linked to the SBLC facility.
The ED has further alleged that out of the total USD 4.54 billion loan facilities, about USD 2.02 billion was diverted for non-sanctioned purposes. The funds were allegedly routed through entities such as Jupiter Corporation, Venus Corporation, Eagle Corporation, Paramount Global, Quadrant Corporation, Sky Billion Trading and TGDC Guangdong Display Co. Ltd.
According to the agency, the money trail was obscured through complex layering using corporate structures and bank accounts to make tracing difficult. The funds were later reflected in the books of Indian group companies and used for unrelated activities.
The money laundering case stems from a CBI FIR registered in 2020. With the court taking cognisance, notices have now been issued to the accused seeking their response, and the matter will proceed through the judicial process.
There was no immediate response from the Videocon Group. The accused are expected to appear before the court in the next hearing.
The ED said the investigation is ongoing, focusing on fund flows, asset trails and related overseas transactions. The agency may identify and attach additional properties as part of further action in the case.
About the author – Rehan Khan is a law student and legal journalist with a keen interest in cybercrime, digital fraud, and emerging technology laws. He writes on the intersection of law, cybersecurity, and online safety, focusing on developments that impact individuals and institutions in India.
