The authorities has arrested one particular person named Dortse having hyperlinks with China and is answerable for the entire racket of incorporating numerous shell corporations in India and appointing dummy Directors on their Boards.
Dortse has “clearly emerged as the mastermind” of the entire racket, a Ministry of Corporate Affairs assertion mentioned on Sunday morning. The arrest, nonetheless, was made on Saturday.
“After the simultaneous search and seizure operations conducted by the Ministry of Corporate Affairs on 8th Sept. 2022, on the offices of Jillian Consultants India Private Ltd, a wholly owned subsidiary of Jilian Hong Kong Ltd., at Gurgaon, Fininty Pvt Ltd at Bangalore and Husys Consulting Ltd, an erstwhile listed company at Hyderabad, the Serious Fraud Investigation Office (SFIO) has arrested Mr Dortse yesterday,” it added. Dortse and one Chinese nationwide are the 2 administrators of Jilian Consultants India Private Limited.
Based on inputs and the investigations carried out, it was gathered that Dortse had fled from Delhi NCR to a distant place within the state of Bihar and was making an attempt to flee India by the highway route, the assertion mentioned.
“Immediately, a special team was constituted in SFIO which was deputed to the remote place. On the evening of 10th Sept. 2022, SFIO had arrested Dortse, who was later produced in the Jurisdictional Court and Orders for his transit remand were obtained.”
The arrested individual Dortse had proven himself to be a resident of Mandi in Himachal Pradesh as per the information filed with the Registrar of Companies, the ministry’s assertion mentioned.
“Evidence procured during the enquiry by ROC Delhi and the simultaneous search operations clearly points to dummy Directors being paid by Jilian India Ltd. to act as dummies in several shell companies,” the assertion mentioned, including that containers crammed with firm seals and digital signatures of dummy administrators have been recovered from the positioning.
The Indian staff have been in contact with their Chinese counterparts by a Chinese on the spot messaging app, it added.
“Husys Ltd. was also found to be acting on behalf of Jilian India Ltd. Initial observations reveal that Husys Ltd. had a pact with Jilian Hong Kong Ltd. Investigations so far have revealed the possible involvement of these shell companies in serious financial crimes detrimental to the financial security of the country,” the Ministry added.
The Ministry of Corporate Affairs, underneath whose aegis Serious Fraud Investigation Office operates, had assigned the investigation of Jilian Consultants India Private Limited and 32 different corporations to SFIO on Friday.
Earlier, the Ministry of Corporate Affairs (MCA) Thursday initiated a crackdown on Indian entities that have been offering “fake directors” to tons of of Chinese shell corporations in cities like Delhi, Bengaluru, Hyderabad and Gurugram, sources had mentioned.
They added that Indian residents with no schooling and dealing in menial jobs have been being supplied as Directors to Chinese Shell corporations.
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