According to a tweet from ANI, the Enforcement Directorate has attached five flats, one building and fixed deposit worth 1 crore, totaling 31 crores worth property of Zylog systems, under the PMLA (Prevention of Money Laundering Act , 2002) in a bank fraud case.
According to a tweet from ANI, the Enforcement Directorate has attached five flats, one building and fixed deposit worth 1 crore, totaling 31 crores worth property of Zylog systems, under the PMLA (Prevention of Money Laundering Act , 2002) in a bank fraud case.
The news is making waves because of the political connection that Zylog has with Vanathi Srinivasan’s brother, Shivakumar Kandhasamy who is the Vice President of the company (as mentioned clearly mentioned in Vanathi Srinivasan’s official page).
In 2016, Vanathi Srinivasan was alleged to have associated with Zylog Systems, a company which was accused of being involved in multi-crore stock market scams and bank frauds. Vanathi Srinivasan, then denied any involvement with the company. On May 21, 2017, the BJP leader posted on Facebook claiming that she and her husband S.U Srinivasan had nothing to do with Zylog Systems India Ltd., apart from the 20,000 shares offered free of charge for the legal services of Srinivasan to ZSI.
The founders of Zylog Systems India, Sudharshanam and Ram Sesharathnam belong to RSS. Then, Vanathi Srinivasan claimed that they were family friends for three decades, and hence Srinivasan had initially offered legal advice/guidance to ZSI, and in return for his services, ZSI offered him 20,000 shares worth Rs.1,00,000 (Rs.5 per share).
She also added that her brother worked as a software engineer there for a while, but did not have anything to do with ZSI’s administration, especially finance. But in her page, "Vanathi Srinivasan Official," Vanathi had mentioned that her brother was the Vice President of Zylog systems. Vanathi challenged people who threw accusations at her to approach CBI with evidence.
In a bank fraud case involving Zylog systems, the Enforcement Directorate today has now attached property worth 31 crores, under PMLA. Sources reveal that with elections around the corner, this issue is bound to haunt the BJP leader.