SC asks JP Morgan to apprise it on deposit Rs 140 crore Amrapali home buyers' money

The Supreme Court on Wednesday said JP Morgan India’s properties worth Rs 187 crore would remain attached with the Enforcement Directorate until the trial in a money-laundering case over its alleged transactions with the Amrapali group was completed.
While rejecting JP Morgan’s plea to stay the attachment of the property, a bench headed by Justice Arun Mishra demanded to know why it should not be asked to deposit another Rs 140 crore that forensic auditors had said went to the company from the real estate developer.

“Homebuyers’ money has been siphoned off and must be returned,” Justice Mishra said.

The bench gave time till next week for JP Morgan’s counsel, senior advocate Mukul Rohatgi, to respond to the demand to deposit Rs 140 crore with the Supreme Court.

It rejected JP Morgan’s application after the Enforcement Directorate dubbed the company’s move as a means to avoid trial by going directly to the top court.

According to the ED, some executives of the Indian unit of JPMorgan Chase had helped the realty developer divert funds by violating India’s foreign investment rules. It seized properties worth Rs 187 crore dubbing those as proceeds of crime. The company had denied the charges and, responding to ET’s queries last month, said JP Morgan India Pvt Ltd had neither invested in, nor received any proceeds from Amrapali group companies.