ED Discovers Cartel; Raids 6 Sites On Sale Of Fake Artworks

In a money laundering case related to fake artworks, the Enforcement Directorate (ED) raided six locations in Mumbai involving art dealer Rajesh Rajpal, solicitor Vsihwang Desai, and other accused. 

ED informed it has received evidence which indicated operation of a cartel involved in trading of fake artwork, transfer of money through cash, generation of dupe authenticity and provenance certificates and engagement of other renowned art galleries and personalities.  

According to ED, the cartel included bullion dealers, a corporate lawyer, and an art gallery located in Mumbai. With the aid of fictitious certifications, counterfeit copies of original paintings by well-known artists like Jamini Roy and MF Husain were being passed off as genuine and payment was made through hawala route.

The investigation discovers a network of people fabricating art pieces and falsely claiming to be from different places. Money trail exposed that cartel members received commissions or free artwork as a result of selling counterfeit art, with the funds going through domestic hawala. 

A portion of the earnings went towards buying antiques in partnership with bullion dealers, which were subsequently placed up for auction through reputable auction houses, with the money raised going into bank accounts.

The investigation is based on a formal complaint filed with Tardeo police by the head of TPG Capital, a US-based private equity business in India, who claimed to have paid top Indian artists Rs 17.9 crore for counterfeit artworks.

Puneet Bhatia, the complainant, claimed to have purchased 11 paintings by different artists, such as M F Husain and S H Raza. After hearing from acquaintances that the paintings seemed bogus, Bhatia went to a private agency, which discovered that the artworks' signatures were bogus.