MUMBAI — The Enforcement Directorate attached assets of Kolkata’s premier St. Xavier’s College and that of Kolkata Knight Riders, the IPL team owned by actor Shah Rukh Khan, as part of its investigations into the Rose Valley Ponzi scam Feb. 4.
Under the Prevention of Money Laundering Act, the directorate has attached Rs. 11.87 crore of KKR. KKR is being probed as some of its transactions allegedly violate the provisions of the Foreign Exchange Management Act.
The Rose Valley Group’s chit fund scam broke in 2014 and allegedly amounts to a fraud worth Rs 16,000 crore.
In a media statement, Shah Rukh Khan has stated, “Rose Valley Hotels was one of KKR’s IPL jersey sponsors for IPL seasons 2012 and 2013. Rose Valley had paid KKR an approximate amount of Rs. 11.87 crore as sponsorship fees. KKR had no other dealings with the Rose Valley Group including Rose Valley’s micro-finance business.
“In July 2019, KRSPL (Knight Rider Sports Pvt. Ltd.), received a witness summons from the ED, in connection with an investigation relating to the Rose Valley Group, particularly Rose Valley’s micro-finance business.
“The ED continues the investigation of Rose Valley. KKR continues to cooperate with the authorities in all respects. As part of the investigative process, sometime in October 2019, the ED placed a lien on the said amount earlier paid by Rose Valley to KKR. KKR expects this matter to be resolved by the ED in an expeditious manner.”