<p>The Enforcement Directorate has registered a money laundering case against the GVK Group in connection with irregularities running into at least Rs 705 crore in running the Mumbai airport, officials said on Tuesday.</p>.<p>The ED action under the Prevention of Money Laundering Act (PMLA) came after the CBI on June 27 registering a case against GVK Group Chairman Venkata Krishna Reddy Gunapati and his son and Managing Director V Sanjay Reddy among others.</p>.<p>Officials said the ED will investigate the money laundering aspect in the irregularities in the functioning of Mumbai airport, which is run by the GVK Group.</p>.<p>The Reddys along with 11 companies have been named in the FIR registered on June 27 for allegedly siphoning off Rs 310 crore by showing execution of bogus work contracts to nine companies in 2017-18 and misusing reserve funds of MIAL to the tune of Rs 395 crore to finance GVK group companies.</p>.<p>They were also accused of causing "huge unquantified loss" to the Airports Authority of India (AAI) by inflating MIAL expenditure and under-reporting of revenue earnings by entering into related party contracts and meeting personal expenses through MIAL funds.</p>.<p>The GVK Airports Holdings Ltd, promoted by the GVK Group, had entered into a joint venture with AAI on 4 April, 2006 for modernisation, upkeep, operation and maintenance of Mumbai airport under Public-Private Partnership (PPP) mode.</p>.<p>The CBI had carried out searches in Mumbai and Hyderabad.</p>
<p>The Enforcement Directorate has registered a money laundering case against the GVK Group in connection with irregularities running into at least Rs 705 crore in running the Mumbai airport, officials said on Tuesday.</p>.<p>The ED action under the Prevention of Money Laundering Act (PMLA) came after the CBI on June 27 registering a case against GVK Group Chairman Venkata Krishna Reddy Gunapati and his son and Managing Director V Sanjay Reddy among others.</p>.<p>Officials said the ED will investigate the money laundering aspect in the irregularities in the functioning of Mumbai airport, which is run by the GVK Group.</p>.<p>The Reddys along with 11 companies have been named in the FIR registered on June 27 for allegedly siphoning off Rs 310 crore by showing execution of bogus work contracts to nine companies in 2017-18 and misusing reserve funds of MIAL to the tune of Rs 395 crore to finance GVK group companies.</p>.<p>They were also accused of causing "huge unquantified loss" to the Airports Authority of India (AAI) by inflating MIAL expenditure and under-reporting of revenue earnings by entering into related party contracts and meeting personal expenses through MIAL funds.</p>.<p>The GVK Airports Holdings Ltd, promoted by the GVK Group, had entered into a joint venture with AAI on 4 April, 2006 for modernisation, upkeep, operation and maintenance of Mumbai airport under Public-Private Partnership (PPP) mode.</p>.<p>The CBI had carried out searches in Mumbai and Hyderabad.</p>
