A special court here remanded businessman and Chairman of Dnyanradha Multi-State Cooperative Society Limited (DMCSL), Suresh Kute, accused of diverting funds amounting to Rs 2,467 crore to various companies of the Kute group to Enforcement Directorate (ED) custody till January 10, a lawyer said here on Thursday.
Special judge AC Daga, while remanding Kute to the custody of the agency, observed, “There is prima facie involvement of the accused in the crime.
Considering the magnitude of the offence, coupled with the fact that the investigating agency could identify property worth Rs 1,400 crore, not granting the custody will hamper further investigation.”
DMCSL, managed and controlled by Kute, Yashvant V Kulkarni, and others, promoted various deposit schemes offering returns between 12 percent and 14 percent. More than 4 lakh investors were lured to deposit their funds with the promise of high returns. However, upon maturity, investors either received partial or no payments, leading to substantial financial losses.
Earlier the ED had attached assets worth over Rs 333 crore in a money laundering case linked to DMCSL, its Chairman Kute, and others.
According to ED, Kute had floated 22 companies and four LLP firms to divert these funds in the guise of loan.
