Court takes cognisance of ED’s prosecution complaint in Videocon Mozambique oil deal case

A special court in Delhi has taken cognisance of the prosecution complaint filed by the Enforcement Directorate (ED) in the Videocon Mozambique oil deal case against businessman V. Dhoot and 12 others in December 2024, the agency said on Monday (February 16, 2026).

The court took cognisance of the complaint on February 10 and issued notices against the accused persons/entities. The agency has identified proceeds of alleged crime amounting to ₹1,136.49 crore.

The ED probe is based on a First Information Report registered by the Central Bureau of Investigation on June 23, 2020, following a preliminary inquiry into alleged criminal conspiracy, cheating, and criminal misconduct by Mr. Dhoot and others.

According to the ED, its investigation has established that the foreign currency loan facilities availed by the Videocon Group, namely the Standby Letter of Credit Facility (SBLC) sanctioned by the State Bank of India-led consortium of Indian banks, the Jupitor Facility, and the Standard Chartered Bank (SCB) Facility, were systematically diverted.

“The diversion of funds was carried out under the overall control and direction of the promoters of the Videocon Group, with the active involvement of overseas group entities and intermediaries. The modus operandi involved routing the loan proceeds through Videocon Hydrocarbon Holdings Limited (VHHL) and its overseas oil and gas subsidiaries, after which the funds were layered through a complex web of overseas Videocon Group companies engaged in activities unrelated to oil and gas operations,” it alleged.

As alleged, those entities included Jupitor Corporation Limited, Venus Corporation Limited, Eagle Corporation Limited, Paramount Global Limited, Quadrant Corporation Limited, Sky Billion Trading Limited, and TGDC Guangdong Display Co. Ltd.

“Through circular transactions, adjustment of export advances, inter-company loans, and investments, the funds were diverted and routed back to India, where they were utilised for purposes wholly unconnected with the sanctioned objectives, including meeting expenses of non-oil businesses, making investments, and creation of personal and corporate assets,” the ED alleged.

It further alleged that a substantial portion of the diverted funds was layered back into India through the books and bank accounts of Videocon Industries Limited (VIL) and its Indian group companies. “These inflows were camouflaged as export advances, loan repayments, investments, or equity infusions, thereby facilitating concealment, integration, and projection of the diverted funds as legitimate receipts,” the agency alleged.

“To conceal the actual end-use of funds and to enable continued access to credit facilities, false and misleading utilisation certificates were submitted to the lender banks. Investigation has revealed that out of the total facility of $4.54 billion, $2.02 billion has been diverted by the promoters of Videocon Group for non-intended purposes,” alleged the ED.

The agency said the accounts of VIL and its group companies turned non-performing assets (NPA) In 2018. “The banks had filed a total claim of ₹61,773.02 crore, including the NPA of ₹23,647.12 crore in respect of SBLC facility,” it alleged, adding that the ED has so far attached assets worth ₹56.27 crore.