The Indian arm of sports apparel giant Reebok has become under the microscope of the Enforcement Directorate (ED) for the alleged Rs 870-crore corporate fraud.
Reebok India confirmed in a statement that the ED has already launched a money laundering probe into the alleged corporate fraud. The company added that it was and would continue to support full cooperation to all investigating authorities involved in the case.
The company said in a statement, "Enforcement Directorate had through a notice requested Reebok India Company to provide certain information. The Company has and will continue to extend full cooperation to all investigating authorities involved in this matter."
In the complaint filed at the Economic Offence Wing of Gurgaon police in May, Reebok India had alleged that its former MD Subhinder Singh Prem and COO Vishnu Bhagat were involved in the fraud by indulging in criminal conspiracy and fraudulent practices.
The ED is the fourth agency to investigate the alleged fraud under the provisions of the Prevention of Money Laundering Act (PMLA).
Earlier the case was probed by the Income Tax department, the Economic Offences Wing of Gurgaon police, and the Serious Fraud Investigation Office (SFIO). After their probes, investigators pointed to a suspected connivance of officials of the company.