The Enforcement Directorate (ED) has apprehended Archana Kute regarding financial irregularities and money laundering associated with M/s Dnyanradha Multistate Co-operative Credit Society Ltd (DMCCSL). Kute was taken into custody on March 2 by the ED’s Mumbai Zonal Office under the Prevention of Money Laundering Act (PMLA), 2002. Following her arrest, she was presented before a special PMLA court in Mumbai on March 3 and remanded to ED custody until March 7 for further inquiries.
An ongoing money-laundering investigation was initiated based on multiple FIRs filed between May and July 2024 by various police stations in Maharashtra. These cases were registered under different sections of the Indian Penal Code concerning a fraud related to investors of the credit society. The FIRs alleged that the society, through its promoters, including Suresh Kute, introduced high-return deposit schemes with promised interest rates of 12 to 14 per cent, attracting numerous investors but ultimately resulting in substantial financial losses due to non-payment or partial repayment of deposits.
According to the ED, a significant amount of the society’s funds, approximately Rs 2,467 crore, was purportedly diverted as loans to various companies owned by the Kute Group, beneficially controlled by Suresh Kute and Archana Kute. The agency claimed that these loans were granted without proper documentation, collateral security, or end-use certification, and instead of being used for legitimate business purposes, the funds were allegedly misappropriated for personal benefits or invested in unrelated business ventures.
Previously, Suresh Kute was arrested by the ED in connection with the case, and a charge sheet was filed before the special PMLA court in Mumbai, which acknowledged the offense. The ED has conducted multiple searches and issued several Provisional Attachment Orders, resulting in the attachment and seizure of movable and immovable assets valued at around Rs 1,621.89 crore.
