New Delhi, February 16: The Enforcement Directorate (ED) has filed a prosecution complaint against V. N. Dhoot and 12 other accused/companies under the Prevention of Money Laundering Act, 2002, in the Videocon Mozambique oil deal case. The special court at Rouse Avenue, New Delhi, took cognizance of the matter on February 10, 2026, and issued notices to all 13 accused.
The Central Bureau of Investigation (CBI) had registered a First Information Report (FIR) on June 23, 2020, following a preliminary inquiry. The FIR accused V. N. Dhoot, unknown bank officials, and others of criminal conspiracy, fraud, and criminal misconduct under IPC Sections 120-B and 420, along with Section 13(2) read with 13(1)(d) of the Prevention of Corruption Act.
The ED’s investigation revealed that the Videocon Group misused foreign currency loans intended for the development and refinancing of oil and gas projects abroad for other non-oil businesses and personal asset creation. The borrowed funds were initially sent through Videocon Hydrocarbon Holdings Limited and its foreign subsidiaries and were then returned to India through complex transactions involving foreign Videocon Group companies.
The funds were returned to India through circular transactions, export advances, inter-company loans, and investments, and were used for non-oil businesses, investments, and the creation of personal/corporate assets. A significant portion was re-deposited into the accounts and books of accounts of VIL and its group companies in India. Misleading and false certificates were provided to banks to conceal the actual use of funds and maintain banking facilities.
The investigation also revealed that out of a total facility of USD 4.54 billion, USD 2.02 billion was diverted for unspecified purposes. By 2018, the accounts of VIL and its group companies had turned into non-performing assets (NPAs). The total claim by banks for the SBLC facility was ₹61,773.02 crores, which included ₹23,647.12 crores in NPAs.
The ED has issued two provisional attachment orders in this case, involving assets worth ₹17.69 crores and ₹38.58 crores. A prosecution complaint has been filed against the total criminal proceeds of ₹1,136.49 crores.
This case highlights the serious misuse of foreign loans by the Videocon Group, causing significant damage to the Indian banking system.
Deependra Singh Chundawat is a Senior Sub-Editor at Udaipur Kiran, specializing in a wide range of technology topics including mobile phones, applications, gaming, PCs, and wearables. Along with covering the latest tech news, he also creates engaging web stories. Passionate about emerging technologies, he stays up to date with the newest trends and enjoys reading and writing about the latest mobile launches and digital innovations.