The Special Court has sent notices to Venugopal Dhoot and 12 others in connection with a Rs 61,773 crore bank loan fraud case linked to Videocon’s oil and gas business in Mozambique. The Directorate of Enforcement (ED) revealed that the notices were issued based on a prosecution complaint filed by ED on Dec 18, 2024, under the Prevention of Money Laundering Act (PMLA).
ED’s investigation found that funds borrowed by the Videocon Group, including from the SBI-led consortium and Standard Chartered Bank, were diverted from their intended purposes of developing and refinancing overseas oil and gas assets. The diverted funds, totaling Rs. 61,773.02 crore, were channeled back into India through various means, including export advances and equity infusions.
The funds were funneled through entities like Videocon Hydrocarbon Holdings Limited and its overseas subsidiaries, before being circulated through a network of overseas Videocon Group companies engaged in non-oil and gas activities. These funds were then redirected back to India for unauthorized uses, such as covering non-oil business expenses and creating personal and corporate assets.
