International arms dealer Mr Adnan Khashoggi had helped Mr Hasan Ali Khan open his account with UBS, Zurich, to use it to launder tainted money and for the Pune stud farm owner CHF (Swiss currency) 28.5 million was “petty cash” to buy a hotel in Switzerland, according to the charge sheet filed by the Enforcement Directorate.

Mr Khan was acting as a “front man” for Khashoggi, a persona-non-grata in Switzerland, and Pune stud farm owner’s UBS account was used to park the arms dealer’s money, says the charge sheet filed yesterday under Prevention of Money Laundering Act by the Enforcement Directorate against Khan and Kolkata businessman Mr Kashinath Tapuriah.

The 950-page document quotes Mr Tapuriah as having told them that Mr Khashoggi had introduced Mr Khan to the bank in 1982 and that the Kolkata businessman learnt from the manager of UBS Mr Reto Hartmann that money deposited belonged to the arms dealer, who might have instructed Mr Peter Weily, a former UBS employee and his portfolio manager, not to allow Khan to withdraw any amount above a particular limit.

Mr Tapuriah also told the ED officials that once Mr Khan had shown him the statement of account in 2005—2006 in Zurich having a balance of $2 bilion. Mr Tapuriah told his interrogators that Mr Khan had revealed to him the code to operate the account which was “Black Prince“.

It was on Mr Peter Weily’s recommendation that Mr Khan had effected the transfer of $300 million to Mr Khashoggi’s account temporarily which the latter had returned to Khan’s UBS account. Mr Khashoggi’s account in the US from where the money was returned to Mr Khan was later identified as tainted money following which Mr Khan’ account was blocked by UBS.

Related Topics
comment COMMENT NOW