In-Depth Analysis

ED Attaches Textile Firm’s Properties Worth Rs. 800 Cr

Published: February 18, 2023
Author: DIGITAL MEDIA EXECUTIVE

In connection with a bank fraud investigation, the Directorate of Enforcement has temporarily attached properties belonging to the Ludhiana-based SEL Textiles Limited worth Rs 828 crore. The company’s properties located in Alwar, Hisar, Sri Muktsar Sahib, Shaheed Bhagat Singh Nagar (Nawanshahr), and Ludhiana are included in the properties attached.

On the basis of a FIR filed by the Central Bureau of Investigation in 2020, based on a complaint made by the Central Bank of India against the company and its directors for defrauding and misappropriating loan funds totaling Rs 1,530 crore, the Directorate had begun an investigation under the Prevention of Money Laundering Act, 2002.The directors had fraudulently misappropriated the loan amount, according to the investigation. a loan obtained from a group of banks led by the Central Bank of India through investments made against the terms and conditions of the loan, payments made in advance to related parties for goods and services that never materialised, the purchase of residential property for personal use, payments made in lieu of the import of machinery through intermediaries for which import is still pending even after the passage of more than ten years, and the failure to realise the anticipated return on investment. The case is still being investigated further.

 

Related Posts