The Enforcement Directorate (ED) raided 35 locations associated with Amtech Group in Delhi-NCR and Maharashtra in a bank fraud case. ₹20,000 crore in several listed companies. These companies were ultimately taken up at a nominal value in the NCLT proceedings, resulting in minimal recovery for the consortium of banks.
According to the ED, the alleged fraud has caused a loss of around Rs 10-15,000 crore to the exchequer.
Read more: There is concrete evidence, says ED to oppose Arvind Kejriwal's bail plea in excise case
Under the Prevention of Money Laundering Act (PMLA), the ED raided locations in Gurugram, Noida, Mumbai and Nagpur, all linked to the Amtech group led by Arvind Dham, Gautam Malhotra and others. had been.
Read more: 'Money Trail Price' ₹45 crore traced: What ED said in court while seeking extension of Arvind Kejriwal's judicial custody
Initially, the Central Bureau of Investigation (CBI) had a first information report about one of the companies of Amtech Group, ACIL Limited. The Supreme Court also directed them to investigate the fraud. The ED started its investigation on the basis of the CBI's FIR and as per the Supreme Court's directive to probe the fraud.
The ED investigation revealed that the loan funds were used to invest in new ventures, real estate and foreign investments.
Read more: Supreme Court adjourns Punjab AAP MLA's plea challenging arrest by ED
The investigation also revealed that fictitious sales, capital assets, creditors and profits were shown in such a way that they could get more loans so that they would not get NPAs.
According to the ED, “It is alleged that the shares of the listed companies were rigged. 1000 crores of assets are kept in the name of shell companies. Some foreign assets have been created and money is still standing in new names.