Directorate of Enforcement (ED) has attached assets totalling Rs.107.73 crores of Directors of M/s Fair deal Supplies Ltd under Prevention of Money Laundering Act, 2002 (PMLA) in a bank fraud case. The attached assets include Land & Building of M/s SIV Industries, Coimbatore, an office building, a farmhouse & a bungalow in Ahmedabad and 7 Fixed Deposits.
ED took up a case of bank fraud for investigation under PMLA against M/s Fairdeal Supplies Ltd. and its directors namely Ram Prasad Agarwal, Narayan Prasad Agarwal, Pawan Kumar Agarwal and Saurabh Jhunjhunwala and others on the basis of charge-sheet filed by CBI before Special Court, CBI, Kolkata against the above-named company and its directors for defrauding UCO Bank, Kolkata. It was revealed that M/s Fairdeal Supplies Ltd. and its Directors availed various credit facilities & Foreign Letters of Credit (FLCs) from UCO Bank, Flagship Corporate Branch, Kolkata fraudulently by submitting inflated and fabricated stock statement. M/s Fairdeal Supplies Ltd. did not route the sale proceeds of coal imported under the Foreign Letters of Credit through UCO Bank resulting in accumulation of the Letters of Credit. The funds were diverted for other purposes, thereby defrauding the Bank to the tune of Rs. 231.95 Crores.
The investigation also revealed that Directors of M/s Fairdeal Supplies Ltd. directed the buyers of coal to remit the sale proceeds of imported coal to the accounts other than the account of M/s Fairdeal Supplies Ltd. with UCO Bank. Accordingly, the buyers of coal deposited the sale proceeds in the accounts other than the accounts of M/s Fairdeal Supplies Ltd. From these accounts with banks other than UCO Bank, the funds were further diverted to acquire assets. Investigation so far resulted into identification of movable and immovable properties totalling to Rs. 107.73 Croresand the same are provisionally attached under PMLA.
Further investigation is under progress.
