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ED attaches Amritsar firms’ properties worth ₹27 crore in bank fraud case
The spokesperson said the ED initiated investigation on the basis of FIRs registered by CBI against the Amritsar-based firms for cheating and committing bank fraud worth ₹185.17 crore
The Enforcement Directorate (ED) has provisionally attached immovable properties in the form of land, plant and machinery worth ₹27.54 crore of Amritsar-based firms in connection with bank fraud cases.
An ED spokesperson in a press release issued on Thursday said the properties belong to Snehal Enterprises, Viroo Mal Mulakh Raj Jain Rice Mills Pvt Ltd and some individuals, Nitin Jain, Neetu Jain and others.
The Jalandhar division of the agency attached the properties under the Prevention of Money Laundering Act (PMLA), 2002, following a provisional attachment order dated February 28.
The spokesperson said the ED initiated investigation on the basis of FIRs registered by CBI against Snehal Enterprises and others for cheating and committing bank fraud worth ₹185.17 crore.
ED’s investigation revealed that the accused persons and entities sold or disposed of the stock lying at the premises of Snehal Enterprises, which was hypothecated with the bank, illegally without informing the bank.
ED investigation revealed that said entity siphoned the loan amount to the account of Viroo Mal Mulakh Raj Jain Rice Mills Private Limited, its sister concerns, accounts of Snehal Enterprises and through cash withdrawals and used it for personal gains.
64 properties worth ₹1.6 cr attached in connection with Ponzi scheme
The enforcement directorate has provisionally attached 64 properties worth ₹1.64 crore of M/s NGHI Developers India Limited and its other group companies in connection with a Ponzi scheme fraud, which affected thousands of investors across the states of Punjab, Rajasthan and Himachal Pradesh.
The properties attached include immovable properties situated at Gwalior, Guna, Bhind and Datia in Madhya Pradesh.
An ED spokesperson said the investigation agency initiated inquiry under the provisions of Prevention of Money Laundering Act (PMLA), 2002 in compliance with the directions of the Punjab and Haryana high court.
The inquiries conducted by ED revealed that multiple FIRs were registered at different police stations in Punjab, Rajasthan and Himachal Pradesh under various sections of Indian Penal Code against Pipal Singh, the managing director of Nicer Green Group companies and others based on the complaints filed by affected investors.
The investigation revealed that Pipal Singh and his associates formed and incorporated multiple companies. The spokesperson said the directors had generated proceeds of crime (PoC) by luring the general public to make investments with the group companies in the form of fixed and recurring deposits on a false promise of high returns on their investments.
“After expiry of maturity, the accused persons defaulted in returning money to the investors, thereby cheating them of their hard earned money. Further, investigation in the case revealed that the POC had been diverted and further utilised to acquire various immovable properties purchased in Madhya Pradesh in the names of M/s NGHI Developers India Limited and other group companies,” the ED said.
ED had earlier on February 24 last year provisionally attached 87 properties worth ₹4.15 crore of NGHI Developers India Ltd and its other group companies.
