ED seizes 2 luxury cars, freezes 37 bank accounts of tech firm in Rs 630 cr fraud case-OxBig News Network

The Enforcement Directorate has seized two high-end Mercedees-make luxury cars and 37 bank accounts having balance to the tune of Rs 33.67 crore as part of its investigation against a tech company in Rs 630 crore bank fraud case.

The probe agency conducted search operations at multiple locations in Ahmedabad and Gandhinagar on January 10 and 11 in connection with the ongoing bank fraud case against Electrotherm India Limited and others under the provisions of the Prevention of Money Laundering Act.

“During the search operations, two high-end Mercedees-make luxury cars were seized and 37 bank accounts having balance to the tune of Rs 33.67 crore (approximately) were frozen,” an official said. The ED initiated an investigation based on the FIR registered by the CBI, Mumbai, on the complaint of Bank of India for causing wrongful loss of Rs 631.97 crore to the bank. During the course of investigation under PMLA, final proceeds of crime was found to be to the tune of Rs 81.97 crore.

“The accused Mukesh Bhandari and Shailesh Bhandari both are also being investigated by the ED, Ahmedabad in two similar bank fraud cases relating to Electrotherm India Limited and its group companies,” the official said.

He said in one case, Electrotherm India Limited availed various loans from Central Bank of India and defaulted on its repayment to the tune of Rs 388.23 crore. “An attachment of Rs 179 crore was made by the ED earlier, and a prosecution complaint was also filed in a trial court,” he added.