The Ministry of Defence has suspended all business dealing with arms dealer, Sanjay Bhandari’s firm, Offset India Solutions for six months.
Bhandari, who reportedly escaped to the UK, is under the scanner of the Enforcement Directorate (ED) and the Income-Tax (I-T) Department for allegedly holding a ‘benami’ property in London.
Earlier on December 27, the ED seized assets worth Rs 26.61 crores from Bhandari and others for holding undisclosed assets abroad.
The assets included undisclosed deposits in foreign bank accounts in the UAE in the various foreign currencies, beneficial ownership of companies incorporated in the UAE, one Flat in Palms Jumeirah, Dubai and two in the UK.
The investigation conducted so far has also revealed routing of funds into various other companies belonging to Bhandari through accommodation entries provided by shell companies.
The Delhi Police in 2016 registered a case against him under the Official Secrets Act (OSA) in connection with the recovery of confidential Defence Ministry documents from his house in South Delhi’s Defence Colony.