ED Chief On Money Laundering, Black Money, Raid, Hawala & Bribe - Karnal Singh | FO379 Raj Shamani

10 Jul 2025 · 1 h 16 min

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Episode Title

ED Chief On Money Laundering, Black Money, Raid, Hawala & Bribe - Karnal Singh | FO379 Raj Shamani

Episode Overview In this episode, Raj Shamani interviews Karnal Singh, the former Director of the Enforcement Directorate (ED) in India, who has played a pivotal role in combating financial crime, recovering over ₹33,000 crores during his tenure. The discussion covers a wide range of topics related to money laundering, black money, and the operational dynamics of the ED.

Key Topics Discussed

  1. Introduction to Karnal Singh
  2. Former Director of ED, instrumental in major financial crackdowns.
  3. Discussed experiences with political pressure and the integrity in handling high-profile cases.
  1. Understanding Money Laundering
  2. Definition and differentiation between various types of money (black, red, pink, and green money).
  3. Black Money: Income not declared for tax purposes.
  4. Red Money: Money linked to crime (e.g., trafficking).
  5. Pink Money: Money related to drugs.
  6. Green Money: Legal money.
  7. Mechanisms of money laundering, including trade-based and banking methods.
  1. Enforcement Directorate (ED) Operations
  2. Overview of the ED's role and its legal framework (PMLA, FEMA).
  3. PMLA: Prevention of Money Laundering Act, 2002.
  4. The process of ED raids and investigations, including the legal protocols involved.
  5. Discussion on whether ordinary citizens can be targeted by the ED.
  1. High-Profile Cases
  2. Exploration of notable cases, including that of Nirav Modi and Hasan Ali.
  3. Insights into the challenges of extradition for high-profile offenders (e.g., those fleeing to the UK).
  1. Interrogation Techniques
  2. Karnal Singh shares insights into interrogation methods and the psychological aspects involved.
  3. The difference between interrogating terrorists and financial criminals.
  1. Political Dynamics
  2. Discussion on the political pressures faced by law enforcement officials.
  3. Importance of maintaining integrity amidst bureaucratic challenges.
  1. Recovery and Use of Recovered Funds
  2. Explanation of what happens to the funds recovered by the ED and compensation for victims.
  1. Bribery and Corruption
  2. Singh's perspective on bribery offers he received during his tenure and the impact of corruption on enforcement.
  1. Future of the ED and Economic Offending
  2. Singh’s views on the evolving landscape of financial crime and the ED's role in combating it.

Key Takeaways

  • Integrity Matters: The necessity for law enforcement officers to maintain their integrity despite political pressures.
  • Complexity of Financial Crimes: Understanding the complexity of financial crimes and the various methods used by criminals to launder money.
  • Legal Framework: Importance of a strong legal framework to combat money laundering, including international cooperation.
  • Impact of Politics: The direct influence of politics on law enforcement and how it can complicate investigations.

Conclusion This episode sheds light on the intricate workings of financial crime investigations in India, detailing the significant challenges faced by officers like Karnal Singh in their quest for justice. It emphasizes the importance of integrity in law enforcement and the ongoing battle against money laundering and corruption in an increasingly complex financial world.

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Transcript

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0:00Last川im�, here they are the most very educated mage - He was like, how is it? He didn't get to buy ED. He was giving a bomb, so he didn't have any violation. This is a offense. No. Mr. Colonel Singh, this is ED's ex-chief. He was under his 33 ,000 crore rupies black money. In this episode, we will know about what difference between them and money laundering. After fraud, why do they run away from the UK? What is the system of Swiss banks? What is red money and what is the pink money? Because black money and white money are the most common. What is the most common method which people do laundering?

0:47Minister has made a company and has a share in high rates. A share of 10-100-25 ,000. That share is also back. So share is also back. Pay is also back. Did you get the minister? Yes, he got it. He was also back in jail. Who is it? Batla House.

1:05What is the case? Today's news is coming. Some politicians and some media. They were targeting controllers that Muslims are targeting. target and a false encounter. What is the logic of this account? They will not disclose to anybody. It was not known as an account. If a man died, he died of money. How much is ED chief salary? Did someone get approached for bribe? ED has recovered 33 ,000 crores. What happens with that money?

1:36Before we continue, subscribe to this channel subscribe to you so that we will make more insightful and better podcasts. And this whole show's audio experience is available on Spotify, where you can follow us. Enjoy the show.

1:54If there is a powerful person, just because of power, can he or she get away? See, this is not possible. small crimes I am talking about not the big ones I will give you an example when I was in the northern region joint CP range some people have come to me who have been in the cement industries they have come to the mangalpur we have our truck we have been in the mangalpur and we have taken the cement and then Loserav drugstoreger came away between small people. When the cemetery of a black cement comes to aunque suppresses, and even they push their groceries. If myρεya mouth vrijаемся everywhere!

2:56people. So I said, this is cement, it's a wrong cement. So it's your house too. Why should I permit?

3:10Then there was a public meeting, there was one of the people who was in the factory. was the first thing. Okay. The right thing or wrong thing? Yes. Okay. You don't have to do this. I thought you don't have to do this. I thought you don't have to do this. You make a cement. It's not possible. I'll take action.

3:37So one day, I took a card, I took a visitor card, and some political parties, General Secretary of a political party, in power. Okay. From the center? Yes. So I did not connect the two names. So I called him. When I saw him, I said, you please go out. So one day, a minister's phone came to me. I'm sending this man. He just took the name. So I gave time. I didn't realize they were the two same people. Okay. So I said sir I will listen to you. I will see what the problem is. No problem. You are not understanding. I said what I am not understanding. Where is cement factory? You are not giving me.

4:29So I said. Then I said. I said this is the name of them. I said yes. I said this is a card. I had written a card. This was a card. It was a card. He said that you don't know my power. I don't know who wants to be general secretary. So I said sir, when he becomes general secretary, he will send me to me. Then it's done. I've never come. The matter has ended. So the question is, how do you deal with people? You have to do your job. The right thing is to do. You don't have to be wrong. for you. No one can't force you. Politicians, you can't make anything like this? You can see movies or real life incidents?

5:17Movies are very many possibilities. But real life incidents you hear, that it will be transferred. Sometimes in the area, transfer it to Nuxilites. What will be the problem? Nuxilite area. We will do a good job. It depends on what is your intention. But if you have a politician, and pressure on your pressure. So you can do anything you can do? Maximum transfer. If you can do anything, you can do anything. If you can do anything, it will be different. It's easy to do. people will recognize you. So easily, politician will not be able to do anything. When I was DCP, it was very old, DCP North West.

6:07So, a minister told me to listen to my people. They were basically land grabers. I said, no help can be given. So, that minister got upset with me. There was an argument. I didn't hear him. He tried to get me transferred. But he was unsuccessful Because the home minister, union home minister Himself through somebody found out what happened So nothing happened So it is not that because somebody gets annoyed with you Things will go wrong Not necessarily See the reputation is very very important If the officer doesn't have good reputation Then it becomes easier otherwise even the politicians think about it strong reputation we don't do it we transfer it what will we do I have to say that we started in the podcast but thank you so much for doing this because it's an honor that I'm sitting with you and you're decorated IPS officer XED chief it's really a big honor because now the things that are happening about ED and the things that you have done is in your duration it's incredible and I was just reading and going through so many things so thank you so much for doing this, it's an honor that you have accepted and talked to us thank you so much you're welcome I think some years ago, there was a fear of fear.

7:55Something that people say, ED will do it, ED will do it. Everyone is very afraid. If you look at basic language, if you look at 16 years old, what is ED? What is the work of enforcement directorate? What is the origin? Why is the basic role? See, enforcement directorate's beginning, if you look at foreign exchange,

8:20in which the FARA Act was first the Foreign Exchange Regulation Act. It was in 47th May, then there was an amendment in 73th May. Then in 1999, it was then changed. Foreign Exchange Management Act. So basic work was the Enforcement Directed Act and the FARAX was on the FARAX. Because in the beginning, when our country is united, We had a wee divorce. This Kamala has been fourth called Florianовойometrials and Tanya's research programs outside кому experience in market この Sarkar ka mطلب hai ki Reserve Bank of India and Finance Ministry. Inse permission leke kama karna pardata ta ki ki itne paisi nai thai humare paas.

9:00Or is liye wou act haiya foreign regulation, foreign action regulation act. Wou basically us mein joh violations thai forex ke, wou criminal offense thai. Jab reform shoo hai humari economy 91 mein. Then, we thought that after reform, our forex situation improved. So, we decided that we should regulate and manage. That means that we should go to India. Then, this was the Foreign Exchange Management Act. This was the criminal offense. So, the enforcement director, which was investigated on the Foreign Exchange Management Act, This is one. Second, when the world started this, money laundering is an important offense.

9:54Basically, if we go back to this, we will listen to Italian mafia. we will listen to. They were very powerful. Italian mafia. Sicily, it means that it was going to this extent that if a judge has warranted to give a judge to give a judge to give a judge. I'm talking of late 70s and early 80s. So, there was a judge after a murder and then a public hue and cry was quite and then government decided come what may we have to investigate. these cases. Thus, there was aЛaram key on the line in America was reached and supposed to be Cyril. So, if you were asking, saying o tremend

10:50A,

10:53B, B, D, E, thenfol sig Divine you go ahead. the mafia has killed the beach. The chain was destroyed. So, it was very difficult to reach the top. So, the office of Italy said that we will look at the money trail. It is early 80s. The money trail went and went and went and went and went. The American police and government also went and went and went. So, there were two trials, one is a pizza trial in America and they were very successful. So United Nations, which we say was a Vienna Convention. Vienna Convention was decided and initially it was drug money. So it was that drug law should not be allowed to use drug money.

11:47They were able to steal money. The proceeds of crime were able to steal money. So it was Vienna Convention. way. This is the banking sector. They should cooperate with the investigating agency. The secrecy line will be behind the and this is the financial action task force. Which is the FATF. Which was the job of which PMLA cases deal. What rules and regulations should be. In Bhairat, it was a member of the 2000, I think, 10 years. PMLA means Prevention of Money Laundering Act. It was the first drug to be given. After that, slowly it was added a case. And after 9-11, it was included in terrorism.

12:38So, it has 40 recommendations on today's date. It's on the rules of the state that we should do in India. So, in India, there was a Prevention of Money Laundering Act. This was implemented in 2005. I thought, who will give this act? So, this act, which is the enforcement direct rate, it has been given to operate. So, the enforcement direct rate, after this two acts, it was the Prevention of Money Laundering Act. Now, the Prevention of Money Laundering Act, what do you think? In this act, there are three schedules given. this. In those three schedules, there are about 29 acts mentioned, different criminal acts mentioned and 159 sections mentioned.

13:30If someone has some crime in these sections, and has paid from that crime, we call it proceeds of crime. Now, how do you do this proceeds of crime? him, how do white work? This process is called money laundering. This money laundering process to investigate the enforcement direct rate. So, enforcement direct rate, they take cases, or schedule of events. Schedule of events means, the three schedule of events are given. They are investigating another agency. They are investigating CBI, local police, or customs are investigating. They are investigating. They are investigating. and some of the proceeds of crime can look at the enforcement and the proceeds of crime and they are attached.

14:22Also, those who have done money laundering and they are arrested. This is the work of PMLA. After that, some high profile people run by crime. In 2008, there was a new act which is called the Fugitive Economic Offenders Act. which are fled from the village, they can attach all the property in this act. The proceeds of crime can not be attached to the other property. So, this act also deals with the enforcement direct rate. So, these three acts are Foreign Exchange Management Act, Prevention of Money Loving Act and Fugitive Economic Offenders Act. These three acts within the work frame are the enforcement direct rate.

15:05to do it. So for India, the people who go abroad and go abroad and go abroad and go illegally to investigate the people who People who have black money from different ways maybe illegal or illegal or legal or tax not to be able to keep it legally that's money laundering. No, I can't understand that. Money laundering which is in the schedule in the schedule of the offense. If the proceeds of crime is generated, then the PML will be given. For example, someone has not done tax pay. Black money is generated. But this is not an offense. Under PMLA. There is no predicate offense, schedule offense. If there is no schedule offense, then it will not be in PMLA.

15:58Then, this is probably tax. Yeah, so black money basically text connected. Red money is connected with crime. Pink money is connected with drugs. So different shades we have. And green money is legal. Green money is not something.

16:23So black money, red money and pink money. Red money is related to crime? That is a crime. That trafficking, terrorism, drugs, it's red money. Drug value is pink money. Okay. So black money is where? Black money is generally taxation. Okay. If someone has tax pay, not tax pay, not tax pay, not tax pay, then black money is where. So ED black money is not investigated. ED black money is not investigated. Black money is income taxed. Okay. So ED red or pink is very interested. Red and pink.

17:01okay so which is the most common way which is usually money laundering there are many ways what's the most common way what's the most common way what is happening in our country is

17:17one is banking sector through you have put money in properties or you can take money in the trade. There are many ways to take money. There is a way to take it. The other way is trade-based money laundering. You have over-invising, under-invising and paid more money in the trade. The other way is to take money in the trade. If we look in India, in a way, there are properties, and other properties, which is another industry. That's how people do this. Then, this is legal? It's legal. In this sense, I'll give you an example. Suppose you have to pay for a process of crime. What does it do? Even if I own a loan but I start a store.

18:23When I get a loan loan, and I start a business. So I've given a loan loan and companies started doing business. But I've always been doing business work on them. But you've managed to make that revenue generation. meaning of jeet zhod written holder data. And my own money that I got into the Sou스 with itsído he started producing issues. started." That's why this gone …, and it legal. 性ontally间 can be replaced with money in the account? Yes. Back then, most people don't play a political union at all, they were made their company and their money – we'll build shell companies together. Shell companies are the ones who spent their jobs it has to be paid processes on just Shell companies are theers, who's illegalned themselves.

19:12When you said Capo off of the new компании. If you have nearer companies like liturgy, So you haveckered durungen of work with a small你看, bank account opened its name and there will still be cash transactions between hand involved. Family going over there, works finements were not people dadurch as usual. So this has whole شell companies .KAhehehe bought up in Calcutta So this Minister has cash, corruption cash, to Calcutta, to where he has 300-400 shell companies. They have cash introduced. If you have more cash than you have, at one point or time, then it's reporting to the Financial Action Task Force.

20:03So you have 45-45-40 ,000 different accounts in a different account. 300-400-400-400-600 which was accounts in a transaction. Then he had a transaction and he had a transaction in a account. Then he had a consolidated in a account. Now these are the transactions electronic transactions. Then he had no doubt or no reporting. Then he had a company and he had a share in high rates. 10-100 ,000 share 25 ,000 ,000 KUH CA Selvajosa.'da? ber In other words though, he made a administration a future stuck with machine support with bringing six whales다가 sugar broke withex psychoticだから. E4 cash per each item took one spent, per아니uredg的人 used it for money loading to do more than 15 years.

20:53Talk about07, Reigns, I will tell you. I have recently gone to your house. But interestingly, after that, I became a minister. Does anyone have any benefit from this? See,

21:18we had a place in 1999.

21:23He was a hardcore criminal. Drugs? No criminal, murderer. Okay. He was a murderer. He was a minister in a hospital. He was a security guard. He was a murder. So he was a CBI. So CBI was a senior officer. He said that he was in a crime branch. He had a phone number. He had to get him. Anyway, we got him. He was a minister in a Bihar.

22:23Sorry I got入ls now in See our system is such Because the truth is that When there is conviction It can be Participated in politics And people It's not a difference If this person is criminal Or if this person is good Vote date and time Consideration is something else And by the reason There are many criminal backgrounds Politics go to politics What's the most creative way where you have seen people money laundering. I can say all the creative can say. I can say all the creative. What was shocking? How could you say it? Bank of Bauda case. For example, 3600 crore rupes from India.

23:13This money was advanced against import. It was never been imported. All of a sudden, when they knew that our 3600 crore rupes So, the case was also done. We started the investigation. Now, there were 13 accounts in Bank of Borda. There were 13 accounts in his company. When he examined his company, he opened the address.

23:47The shareholders, directors were made in the area. When he asked him, he said he had 10 ,000 ,000 per month and he had a job. He had a job in a place where he had a office. When KYC was done, he closed the office. So he gave 10 ,000 ,000 per month. So one day, a deadlock didn't come here. But where did the money go? Then he went backtracked on account. When the accounts were backtracked, some people knew where money came. Ultimately, the case was the case. The case was our scheme of government's duty drawback. If you export a particular item, the government gives you a concession. Concession means you give money back.

24:41In some case, it's 4 % or 8%. So, some exporters who were put in this case, they used to be like 100 rupees, that's the invoice of the invoice is 5000 rupees. Now, they are exporting overvalued exports. They opened their company, they have to sell their company. They have to sell their company. They have to export their company. How does that sell India? India, the money is 100 rupees. You have to pay extra extra for 4 ,900 rupees. So, you had to advance this and send it here. You have to pay for that. You have to pay for 5 ,000 rupees, 4 % or 5 %. You have to pay for that. So, you have to pay for that.

25:35Then, you have to pay for duty drawback. I started to understand what happened. One more interesting case was, Bombay is also in this case. What did the company do? She applied for loan. I think it was 6 ,000 crore loan. For import of diamonds. Meanwhile, he sent his company in Dubai. There is no one in Dubai with him. There is a company open. And he sent advance against import. He left himself his company. And he made his servants here. And this is a failure of Dubai. 6000 crore 6000 crore and he has taken a small country citizenship in a small country so the process is going to bring it to us extradition process becomes difficult it's not so easy because extradition political and judicial process we will talk on extradition and all of these things first we will talk about ED chapter because extradition as far as I know Sweden No, extradition has been for people.

27:01But again, extradition is a political process and judicial process combined. Can anyone get an ED to a common person? See, first of all, a case should be. If we talk about PMLA, then first of all, a schedule of offense should be. That means, another agency is investigating some crime. investigate it not enough to not no problem it so it can

27:51be important is the power of attachment. If someone has a crime and has a crime, then what is it? What is it? Why did he have a crime? Secondly, the arrest is the bail is very difficult. Section 45 is the twin condition which we have. The first condition is that if someone gives bail or listens to bail is the judge to the public prosecutor give the opportunity to the judge. He will say what he says. The other thing is that the court will give the bail when he is satisfied that the case is not going to be so that it is not going to be so that it is very difficult. This is why the bail is very difficult.

28:39And more than 2 years, some people are going to jail. So people are going to jail. Some of the jailers can be and can they be able to arrest? can you? No, who can you money laundering involved in the money laundering that can be. It's so common. People know where it is, how it is, what it is, what it is. There are different agencies that people talk about. There are many businessmen openly talk about. So, then, why do you have to pay for ED? Why do you have to pay for it? First of all, I'll tell you what is. Suppose you have to Delhi to Mumbai. There is one person who has to pay for it. 2nd obstruction of revenue at Bombay go over and deliver he will call Bombay deliver Well, they are going to flow into the way.

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30:11Okay, this is necessary to understand. See, the problem comes in the Foreign Exchange Management Act. So if you're going to Bombay from Delhi, then this is not a problem? This is not a problem. This is not a problem? No. This is not a problem. See, the problem of transactions, that is a violation of the Foreign Exchange Management Act. Okay. So when the money is sold from one country to another country, this way is sold from India to America. Yeah. So if you're going to Bombay from Delhi, then there is no violation of it. under laws. So this is not a crime? No, this is not a crime. Within India, it is a crime.

30:48What is it? So all the people do this. That's what I am saying. You have asked questions that people talk about it. So this is a problem. If someone here is supposed to do Dubai is selling money. If someone here is selling money to Singapore, or to Singapore, India is selling money, that is actually a violation. is. There is a violation of foreign exchange.

31:13And there is no violation of the law. You can't send an invoice or under invoice, then the money will reach you. That's the way people have. So, there is no crime. Under ED or any agency? No, there is no. No, there is no. So, the case of the 10-Rubay note, take a half note, give this, give this, all of that, that's not a crime. No, within India, if you send India from India, then it's not a crime. So, any person, like Delhi from Bombay, 5 crore, 10 crore, he'll send it, and nothing will happen. It's not a crime, but which money you send? See, income tax can play. Income tax can be a role. If this money is black money, if someone comes from bank, to sell anyone's feed!

32:05That tax can be sold for an offer. How can you deliver these huge growth reports? If your company has PNG access with cash published puns 8 million dollars and you put it in feeways 5 million dollars you put it in the Bank financial year end on it and that's when you have 50 lakhs when you have got a piece of money and you have got a piece of money and you have got a piece of money and you have heard the name of it which actually they take the money they do it they take the money and they take the money and people tell us we have got a deal and if it goes to the money then they say that the money is our bank so it can be possible but there are many loopholes in systems It's a big loop.

32:52Then technically you're saved? No, it goes on. Income tax doesn't have a lot of income. So income tax can prove it. It's 50 ,000 ,000 ,000. Yes, you can see income tax. How many times have you been to travel? How many times have you been to travel? There are many things. Travel not do, you do just internally transfer to the other place. That's a problem. I'm talking about the other place. I'm talking about the other place. And the other place is so big. term is, it's not a big agency, everybody knows, why do they not get caught up? Look, there are many transfer of those who don't have to be crime.

33:30There are some transfer of crime that can be. Crime means, I am not saying crime, income tax violations can be. So certainly, income tax action is taken. But when you have said that ED has been in India that has been sent up or bish. So many people do it. There are many action leti iti iti usman. So you would know kyunki itna easily agar logoo pata hai to phir ho jata. No but enforcement directed kaffi action leti usman. But still ho raha hai. Bahaat ho raha. Deekhi sari agencies hai bhoat sari joh crime control kar raha hai lelikin crime ho raha hai. See these are things basically they are coming from the socio economic factors.

34:12They are coming from the culture sometimes. Ab Dubai say log Kerala mein paishe bhezhte are working there. They are selling more than you. So, they don't get rid of it. They get rid of it. But, you have to do big big cases, after that, there are also loopholes that are people who exploit them. What is the biggest loopholes that people exploit them in India? Loopholes are the ones who are running. Because international cooperation is a problem. International cooperation is a problem that foreign country But if you have to rise illegally in some country, you have no tribunal. For the, you're going to throw a letter to the court.

34:55So you go to the country whetheruo you have to deal the country. You gotta depend on meeri. For example, suppose your people have the Proceeds of Crime Danization. Good man is now getting cash from the bank. to Dylann see or cash nkale ke kishi or account me jama kare diya ager hem ye katehye ki bhi is adamhi na kis bank me cash account jama kia tomah se koji jamaab nie aega ho kane ga ma account number batao jis me jama kia wou aapke paas hai nai ager wohi chijiz india mein ki oti to hum nkala saktate to jo loophole hata ha international cooperation ka bhojjah get rid of them, who are high-profile.

35:46field Travel Trust need to go and decline that查 نیرا موضی ہونے پی Brock之 پر—oyان processo dari��릴 so to dealcraft with India till this solution till this solution very difficult to do. It is a process of extradition. You will request from another country to another. We will examine politically that we will do it or not. The other concept is dual criminality. We should also ask that crime in the country. If there is no definition of crime, then it will not be extradition. not going to be. If the country agrees to be extradition, then the judicial process will start to take the court. They will take the court to take the court.

36:44And the opportunity to defend the court. Then the highest court will go to the highest court. And the highest court will also say that the court will send it.

36:56But the US will do it so easy to extradit? They will make pressure to make people out of the pressure. US pressure is is is is of recognition of our agencies no you have to work within framework of law now the super power is their power is more than people use their muscle and be like this we need deal with such high profile and you don't bribe offer that is not people know the reputation of officers even as a top level which 10 ,000 15 ,000 crore cases everybody knows who is how is so yes they don't do it if someone knows that is honest officer he never approach you did it someone approach you to bribe for me never did it in your case no so they don't even because they know every officers who has reputation if reputation good, so no approach doesn't work.

38:01In your tenure, 33 ,000 crore has recovered more. Which is, in today's history, the amount of 50 % you have recovered in your tenure. That's remarkable. Now, that's 33 ,000 crore you recover. What happens with that money? See, the property attached When the case is final, the property is best in the central government. There was an issue that the role of the victim is what is the role of the victim. One person who has paid money, who has paid money, has paid money. When the court is not paid, the money is sold to the government. What did the victim get the victim? So, there is an amendment in PMLA, which is called section 8, part 8.

38:58That when the court is convicted in any case, the victim of the victim is also compensated. Then there are some cases, such as Bombay, the Investors Protection Act is in Bombay. Now, in the Investors Protection Act, which is called the Maharashtra Protection of Investors Act, say, the provision is that the victim can compensate for trial. There is one case that the police were investigating the Pongi scheme and ED investigating the ED. Now, what ED has attached to it, they can get back to the conviction of the police. What the police have attached to it, they can get back to the conviction. Then, there is another amendment.

39:48Section 888 in section 888, laya ki trial ke doraan bhi victim compensate ho saktah hai. To ye paise ya toh sarkar ke pash jayenge ya victim ke pash jayenge. Toh sarkar joh collect kerti revenue us me hi add hota hai. Yes. And phir joh sarkar apni schemes pe lagati moha pe use ho gaya. It's just like a revenue generation. Yes. Why do all of these people ye loks sab UK kye jate hai? India sab crime kareke bhaake UK chalaya. I think extradition thudha difficult hai moha se. Kyu? Moha pe kya aisa hai? Past history.

40:21but something will happen here because all economic offenders at least high profile EDs involved in UK if a person feels safe with the past experiences of other people people are running there because I was trying to find out out of curiosity that these people all go to UK because in UK human rights laws are very strong and you can extradite not do it if they prove it that my case is political, purely fair trial will not be made with me. Two things have not been proved. These issues were taken by jail against the issue. The jail is India's conducive. He was taken by the jail. His answer was given.

41:04His father decided that he has to be extradited. And what was the case of Nirav Modi? His same. What? Nirav Modi's case was given that that he had an account in Punjab National Bank. So, he has a letter of understanding from here. He has issued this issue from the bank. And the bank's account in the bank, he has paid for the letter of understanding from there. Now, the letter of understanding that he has issued, do it. When we had a transaction internationally,

41:46when we checked, there were 30 databases in Punjab National Bank. And there were many databases in that area. So, one thing is core banking system. The core banking system is on the notice. It is on the notice. When we used a letter of understanding, we didn't put it in the core banking system. I didn't put it in the same time. It was the same. It was the same. And before they got 4 ,000 crore. Then they got to do it. 6 ,000 crore. Then 8 ,000 crore. They got to return. They got to take new. So what happened? The officer who helped them there. I think that the transfer was gone or retired. The new officer was gone.

42:35They approached him. Same. Same. So, he said it's wrong. He said we're doing it. So, he has complained. So, here's the case. Who do you report to? You will talk to whom as an ED chief? Our revenue secretary. Okay. So, finance minister or prime minister? Revenue secretary. You ever met? Who? Prime minister. I met the most. Okay. But not related to cases. What do you love about our Prime Minister? See, he's a very good listener. And it's not that many people are saying, they're listening, listening, not listening, but it's not. He's very attentive. So, this quality is in less than a person. And I've learned that the most important quality of any leader is listening capacity.

43:35So, I like that most. that they listen to you. There's no orders. You've seen it. You've listened to it. No. It's not that. The order is this. Do your own work. Not beyond that. Have you done interrogation yourself? Many. Many. Which one of the brutal interrogation? Basically, the art of questioning. Interrogation is not like that you give mental pressure and you'll tell someone. See, the accused ones to come clean to you. That's a very, you have to understand. And in coming clean to you, if you prove it in your questions, you can prove it that he's saying then you start telling the truth. I'll give you one example.

44:24In 1996-97 in Delhi, there were 42 blasts. So my team was investigating that case. So a girl was caught up with a kamran. So initially he confessed 18 blasts. So it was on 11th day of his remand when I was questioning him. There were piles of paper of car details from India to Pakistan and all that. So I told him, you are telling lies. You are saying something. He said, how is it? I said, there are all records. I checked all the records. Sahoutschab psychiatrist, if you can ask why for fuck owns Ama. You are both aware or could follow your dest소 mistake? They have speech where you have come from.

45:16They are arranged in the meeting with you. What sort of question is a subject that if nor my followers are yours. So what will this be wrong with the Quran? The problem is that what you are doing is wrong. What is the terrorism? You are killing innocent people. This is wrong. Then he told about other people. All cases were solved. And about 22 modules were all over India. So it is not a question of... See, interrogation I always feel is an art. and you have to be very patient in interrogation. We were interrogating one. He was suspected to be close to Daud. Close to Daud? Daud.

46:10I was also in the interrogation. There were people of Central Intelligence Agency. And he didn't give us hands on any other thing. What do you mean? He was saying, I don't know Daud. Okay.

46:25Then he confessed everything.

46:35Then he gave us description of his house and everything. But it took almost eight hours, cautioning, not saying him anything else. See, many people think short-cut methods are not good. Not useful. Short-cut method has been killed, tortured, third degree. No benefit. But, you give third degree torture and all this. Many people do it. They go and get caught. There are cases of police. They are against police. But, my experience is that if you questioning people with your knowledge, about the case then you can correct the people by just questioning them. What difference is there in the terrorist interrogation and in this?

47:30See, in case of the enforcement directed investigation which is basically investigation of white collar crime. Here are transactions, which are banking transactions mostly. You have to know what was the purpose of this transaction. And that also gets to know. You have to buy money, you have to buy money from the chain and buy property. So you know that it has bought property. So it is easier to interrogate on those lines. When you enter terrorist cases,

48:10there are many terrorists who are very strong ideological.

48:20A terrorist was extradited. And maybe the police would have to go to Bangalore, I was interrogating in between Delhi police. I was asking him questions. question, I was asking for training. So, I was talking about training. I was talking about training. They were doing training. So, they had a training. Final training.

48:44How to persuade others. Terris' final training. So, I said, what is the benefit of this? I said, I have time for half hours. I will tell you about your ideology. I would like to bring my faith in my childhood.

49:03Do you have to listen to me? No, I would like to listen to you. But see, it's confidence. Secondly, sometimes they don't tell you anything. But then you have to question them, that you were not here, this is evidence. So, it's just evidence based technique. collection of evidence has become very very important and what collection of evidence you will get in very small pieces where you will confront it, that you will confront it, that you will confront it, that becomes very important. You know that you are guilty and you have to leave it again, because it is lack of evidence. See, lack of evidence is in court.

49:47But if you have left the case or at the end, it can be left with court. You have made the case. and you knew that it was done. There is a possibility. I can't say because conviction rate is how much and 39 % or something conviction rate so some people shoot as if there is a grief and a grief and you know that the criminal is out of here. It's a system. It's not that it will be put in another case. The criminal will be done and it will be done and it will be done and it will be done and it will be done. There are many things in the system. So it's not like that one time crime will never happen again?

50:28No, there are many people. There are some such crimes that we can say, we can say that we have been angry or done by some reason. So we will not be a criminal. One thing is, Dinesh Thakur was a kidnap. He was asking for extortion and money in Delhi. I was DCP, North Quest. Okay. So we said that, you call him for money. So his type of type was in Ashok Guhaar. In the market. In the market, it was my office. So when he tried to get to it, there was a firing. Police and his team. So I was sitting in the office. I was coming to the market. When the firing was going on. Okay. so market people pointed me on something so I saw a guy running so I chased him then on the other side a guy took a car he took a car he took a car then he took a car he took a car he took a car that said I'm a generalist anyway when he took a revolver he took a car he took a car he took a car he was closed in the case of armed sex.

51:48His name was Aftabansari. He was left in jail. He got a terrorist and a wanting to be terrorist. After he was left, the one thing to be terrorist was made a gang. Kidnapping for ransom. And then terrorism was part-spit-created. Indian Mujahideen has been made in the battle house. After all, the people who were killed were turned into terrorism. The people who were attacked in the American center was not in the Indian Mujahideen. The people who were killed in the second half were killed. They were extradited from Saudi Arabia. and now he has heard about fantasy in Calcutta. So, there is an immense possibility of which man is going to do.

52:52You mentioned Butler House. Yes. What is the case that is so much that it is going to be happening today? What happened was that there was an Indian organization. It was a terrorist organization. so first they emailed us when they were in the Uttar Pradesh in the courts. They just sent us email us. They told us our organization, we are Indian Mujajiddeen, and we are being blasted in the courts. We are doing it. Basically, if someone has any harm, we will go and see. This is the first time, but before they have blasted. First of all, they did in 2004 or 2005 in Banaras, which is Hanuman Ji's temple.

53:43They did blast in different places. Then they also did a blast in Bangalore.

53:52When they blasted in Jaipur, they also did an email. They did a clip. There was a clip. There was a cycle in which the explosion was before the explosion. Then there was a blast. We had blasted. You have no clue. Then there was a blast in Gujarat. Gujarat was placed in Ahmedabad and Surat. Surat was not a bomb. had had it... Sorry, one thing... fortunately 29 bomb plants here... bodied the bag them and they had Murder snails had some type ofietenins box here... The people of India who were along was odd and??? odd and??? general logistics. So they told me that people use 4 phones but they also use phones.

55:02Phone number also had the police. They shared all the numbers. They shared all the numbers. They shared all the numbers. They shared all the numbers. They shared all the numbers. When the police had a conference conference, they then had a email. I have not been able to get a false person. I have not been able to get a false person. I have not been able to get a false person. I have not been able to get a false person. And the intelligence bureau said that there is an ignorance bureau. Whatever they could say about the police. They commented on that. Now, the people who were analyzing about four phones, everyone was analyzing.

55:39In that one phone, in Delhi, in some days, in the background. And in one phone, Bombay had a call for one second. What does one second mean? If you have a call and you cut your phone and don't receive it, you don't receive it, you don't receive it, you don't receive it, you don't receive it. If you cut it, you have a call record. Okay. Everybody mostly ignored that. So our inspector Mohonchan Sharma, who was investigating it, He didn't ignore it. He did not ignore it. He saw who was calling. So he saw that he was Bombay. He was not gone. He was Lakhno. He was the one who was calling in Delhi. into this, the problem mostly helps him to develop to try again.

56:34where I'm not even where I can stay at go. I was very surprised. I was very surprised that I was very surprised. I was very surprised that I didn't have a place here.

56:55This was a call before, 13.70. Then, what will happen? No, I will do it. It is an innocent call. But when I analyzed it again,

57:09So I felt like this was the place that I was sitting in the area of the city. It was the location of the city of Kroll Vaak. In Kroll Vaak, the city of Kroll Vaak was blasted. Then we started checking the numbers. We started checking the numbers. If it was blasted in Gujarat, Jaipur, Delhi, where did it go? This particular number and connected number. So I felt like this was the phone. in Japan, in Ahmedabad, in Delhi, in the Delhi, in the Delhi. The doubt is basically big. Meanwhile, 18 September, there was information through the intelligence bureau. The terrorists used 4 cars. Two cars were placed in Ahmedabad in hospital, two cars were placed in hospital.

57:58in the house when we got産 Khalifah. So this person was wounded in the hospital, and even the people who were overeating, He told me that the bomb was shot in the same day, the bomb was shot in the same day, the bomb was shot in the same day. It was 13 people. Now this was the information that I.B. gave. So we thought that instead of checking that there were many reservations, how many people went on that day, we said that we saw how many people from Delhi have written reservations. So we found that there were 13 people from Delhi. But 13 and 13 addresses were false. So a doubt has increased. So when we were doing this investigation, We were doing this same thing with 18-year-old number.

59:14I asked Mohanchan to tell him, I said, look, this is our suspected number.

59:22When this train was reserved, what was the railway station? So, Nijamuddin railway station was reserved. You saw that it was the position there. That gives more indication. Then, one of them had a previous one. I saw a place where he was asking for a place. It was a weird thing. He said, I don't want to sit on the train. He was calling the whole night and he said, I'm sorry, I'm sorry. But it was still a doubt. Then he decided that we searched the location. It was L18, in Wat Laos, in the fourth floor, there was a house in this house. So it decided that we would search there. There was a debate debate in the night, so it was the day of the day.

1:00:14So it decided that we would search in the day. But this was a congested area in Wat Laos. If you are going to go there in a police uniform or bullet troop jacket, if you are not there, then you will not come again. Because People will know that police were checking in this house. They were checking out. So, there were two teams. One was Mohanchan Sharma leading. One was Mohanchan Sharma leading. One was Mohanchan Sharma leading.

1:00:46When he entered the territory, he fired him. He hit the wall of Mohanchan Sharma. Two terrorists were killed in the moment. One was killed. And Mohanchan Sharma's death was gone. My head constable, Khadak Singh, also fractured his bullet. This was the basic incident. And after that, they got information on their laptop. They got a record of the laptop, that they had a bomb blasted. They had a bomb blasted before they had a pattern of I-M. and behind a window was written in the Gujnati in the book Indian Mujahideen Ahmedabad and it was made a video in the car which was a bomb it was a photo and a video there were many motivational songs to convert people into terrorism there were many different countries clips to indicate indicated to him that Muslims are f masturbation are in a place.

1:01:59So I have to have so many motivational items after all the information, many will Bespreened Indian men over 2-3 months until it 혼 Arena. But I have to create a few people and a few people came out. I would say there were some politicians and some Economists and some people of media. And they were supporting this? They were creating controversy that it was a false encounter, a small encounter. Muslims are targeting the Muslims. And why did you think that media and politicians were doing this? Politics, which is my understanding, there were four states in elections. This was in September. And in November and December, there were four states in elections.

1:02:51And in 2009 there was a parliamentary election. Some people were playing vote-bank politics. That these are our votes, these are the community and religion.

1:03:06But media-wise are they playing? Because when politicians start playing, then the story begins. It was very strange stories. What? It was a story that Mohanchan Sharma had a shot from close range, he didn't kill his friends, he was planted in this way.

1:03:29He was a innocent boy, he didn't play. So it was a Dermal Nitrate Test. If someone is filing, then he gets trapped in his hands. So when the two terrorists were killed in the Ames, he took the doctor to his hand. He sent the CFSL to him. He confirmed that on the head there was a positive test. Then he got the weapon. And the weapon was matched. and then there was an allegation that it was closed range. It also got post-mortem report. They said that they hit a gun from behind, they hit a gun from behind. It was not closed range. So there were evidence. Then two men were running away from the moment.

1:04:27How can they run away? It's not possible. Ultimately, those two men were also stuck. It was both D, and the lower court, the one which books Arts Lewis said, the both Assayers Acadia and abbiamo read the Release.

1:04:52Some people went to go to theى, the Supreme Court, and when competitors went before they People are being a little bit of a shup. But when they come to election, they say no one. But it was strange that

1:05:09Amar Singh was saying that he was going to the area and he was saying that he was saying that he was saying that Amar Singh was saying that he was saying that he was saying that he was saying so bad about such a comment. Mumtab Enner Ji, that was also Batala Usma and was talking about. Sometimes I feel that a national policy should be on terrorism. That if you comment on this way and you don't have evidence then you should have a case for your case. Terrorism for sure. Because in that time my officers came to me and And they were very emotional. We say, sir, we are working for the country. We have got a terrace.

1:06:01So what do we want to do with that? We will put it in fancy. Then I told them, you don't worry. We have done the right work. And we have evidence. We will prove it. But certainly demoralization comes from the same time. They think that why are we doing so much and so much of our own and so much of our own. certainly demoralization is happening the system also feels what is happening what results are the money launders for the best country which country which country will money laundering laws relax which country will which country tax havens they are the best like tax havens Hawaii I don't remember all of my names bhi yad nai hai.

1:06:53But ya Krabians, Islands, o Kekke, menei. Yeah, where tax is kam hai. To aap pise waha lhe jau. Tax kam lagega. Pire kahi or lhe jau. To bossy even the actual company hai, who bhi kiya kerti hai? Ki apna profit share is tari se divide kerti ki tax 7 menei jade profit hao. so that your overall taxation will be reduced. True. So, the concept of minimum tax is now, G7, that you don't have to pay minimum tax, you should have tax 7. You should do it. How much is the ED chief salary? How much is the government servant? How much is it? About a half a million. And what are the perks? The same perks. You have a car, you have a house.

1:07:51And you get something like security? Security depends on what is security perception, what is threat perception. It's not compulsory. And after that, phone, patrol, education, everything you get? For kids and everything. When you become a director, children have been taught. and retirement after retirement what do you plan? it depends person to person what do you want to rest? what do you get from the government? salary, pension pension if you give the government no, no if you go to the government then go to the government you can see right and 2.5 lakh is the base salary which is the basic salary.

1:08:42Yes, I mean, it's a basic salary. It's a basic salary. It's a salary that is less than it. I mean, I get this total amount of money. Okay, total amount of money. And then, when you retire one time, you get pension, lifetime or not? Yes, now it's a lifetime pension. But I think in 2006 or 2007, the service that we have, the pension scheme is a different type. The pension salary is enough, or it's half of it? It's half of it. And that stays forever. If you want to work on your personal and work on your job, then you stay still? If you want to work on your government, it will be compensated. If you want to get two and get a pension, then you will get an extra additional.

1:09:31If you want to get private, there is a restriction. There is a one or two years for private. If you want to get that, then you have permission to get any work. If you have to talk about it, you can do it. And Swiss account? See, Swiss account? Swiss account's logic is what is? Swiss account's logic is what is the secrecy laws. Bank's secrecy laws. They will not disclose to anybody. But slowly now, they are disclosing. Now, it's not the secrecy. It's not the secrecy. The first thing. . . . . . . . . 一 Pack 17 . . . . . . . . . Aaron S~~~ . . . Luan S against One person was Hassan Ali. Whether he was the biggest con man or the biggest business man.

1:10:48It was difficult to say. Who was it? What was it? There were allegations that in Swiss bank, his money, and when I was in India, in the US, it was approximately 48 ,000 crore. Indian? Indian. SIT was the Special Investigation Team on Black Money. It was the case. But it was very strange. People said that Swiss bank is not running money. And people had money. I had to pay for a lot of money. I had to pay for a retirement. I had to pay for this, I had to pay for money. My account is in Swiss bank. And even he, I think he wanted to buy a hotel in Switzerland. And he had a meeting in Swiss bank. And the bankers said, that it has sufficient money to buy it.

1:11:53And the money has not been traced. trace نہیں ہو پا ہے بھی نہیں تھے کسی کو نہیں پتہ بھی

1:12:1148000 crores with the end میں کسی کو نہیں پتہ ہے کی نہیں ہے ہے کی نہیں ہے اور hotel خرید لیا نہیں نہیں خریدا many people believed ہے many people didn't not believe many people believed ہے many people didn't not believe ED rates are how they are? It's a search operation. Section 17 is in PMLA. First of all, the deputy director

1:12:37examines the file. Then, it says reason to believe. My reason to believe is that PMLA evidence of possibilities are. and then he has a search warrant issue. Then the investigating officer himself or the other team will search through. Searching a procedure is in CRPC, in the criminal procedure code. Now the BNSS has been made in that. What do we need to do to do search? Generally, what do we do? Central agencies do that they take witnesses from other departments. witness lhe jati in dhu mockay se bhi witness lhe sakti ha mullay pad os k or firma search kertai agar document milta hai us ko seize kertai hai ko property milt hai jis pa ap k doubt hai k money laundering me involve ho sakti hai to seize kertai hai koi account a account a paisi rakhye ho e nho nho nho nho proceeds of crime, then you freeze that account.

1:13:42So that is a process of search. There is a search memo. Phones allowed not to be allowed. You can confiscate it from the time. Phones can depend on the phone. If you can confiscate it, or not, if you suppose to do it, you have to do it. But during the time of raid, can people put phones in there? Which ones put? Allow it? Depends on search to search. And coming out, they don't generally allow it. not do anything. What is outside? Generally, we can allow it. We can take a search, we can take a search, we can't take a search. If someone has read in a house as an ED, then, is it legal to call? No, no.

1:14:27But if an ED officer said, you don't have to put a phone, is it allowed or no? Generally, if someone has pressure If you have to use a phone, you should not use it. But if you have to use your advocate, you allow it. Perfect. Thank you so much sir. Thank you. I know you have to go and there's a meeting. But thank you so much for giving time sir. Pleasure. No, you are most welcome. No, you are welcome. Generally, I interrogate dreaded criminals. Dreaded criminals? Yes, I mean, people are scared of them. I start interrogating them. I have told you that I have done everything I have done everything So dreaded criminal Who are most fearful Who are most fearful Why?

1:15:17Who are most fearful Who are most fearful Why? Let me know Thank you so much for watching this episode to the end Now you have to do three things First of all, subscribe to this channel Because as much as you subscribe subscribe we will get better and valuable guests for you number two tell me in comments what did you feel good and bad so that we can repeat mistakes and which guests you want to see back to our podcast so that we can take them and give you more value and number three you have to share this episode with someone else because one conversation can change someone's life I'll see you next time until then keep figuring out Thank you.

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(00:00) – Intro


(01:55) – Cement Thief Story


(05:17) – Transfer Threats & Pressure


(08:05) – What Does the ED Really Do?


(10:05) – Italian Mafi* Link


(13:24) – Understanding the Money Laundering Act


(16:06) – Pink, Red & Black Money Explained


(17:14) – How Money Laundering Works


(27:09) – Can ED Target a Common Man?


(28:56) – What is Hawala & How It’s Done


(32:31) – Angadiya System & Legal Loopholes


(37:27) – High-Profile Cases & Bribery


(38:33) – What Happens to Recovered ED Money?


(40:10) – Why Do Fraudsters Flee to the UK & Nirav Modi


(43:04) – His Take on PM Modi


(43:56) – Brutal Interrogations Inside ED


(52:54) – Batla House Case Deep Dive


(1:06:30) – Best Countries for Money Laundering


(1:07:35) – Salary of the ED Chief


(1:09:45) – How Swiss Bank Accounts Actually Work


(1:12:23) – Inside an ED Raid


(1:14:45) – Final Words


(1:14:57) – BTS


(1:15:23) – Outro



In today’s episode, we have Karnal Singh, former Director of the Enforcement Directorate (ED), the man behind some of India’s biggest financial crime crackdowns, with over ₹33,000 crore recovered under his leadership. We spoke to him about whether powerful people really get away with anything in this country. And what’s it like to stand your ground when ministers pressure you to bend the rules?

We also talk about ED’s powers, how ED raids actually happen, and whether the agency can summon a common citizen without notice.

In the last segment, Mr. Singh opens up about the difference between a terrorist interrogation and an ED interrogation, what it feels like to know someone is guilty but let them go due to a lack of evidence, and the truth behind cases like Hasan Ali’s ₹48,000 crore Swiss bank saga. He talks about the toll the job takes, the demoralising comments made by politicians, and the reality of being an honest officer in a corrupt system.

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About Raj Shamani


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