ED arrests MD of Mumbai firm in Rs915.65-crore bank loan fraud case

The Enforcement Directorate (ED) on September 17 arrested Vinod Chaturvedi, the managing director of Mumbai-based Usher Agro Limited and its other group companies, under the Prevention of Money Laundering Act (PMLA) case for allegedly cheating and siphoning of Rs915.65-crore bank loan.

The Enforcement Directorate (ED) on September 17 arrested Vinod Chaturvedi, the managing director of Mumbai-based Usher Agro Limited and its other group companies, under the Prevention of Money Laundering Act (PMLA) case for allegedly cheating and siphoning of ₹915.65-crore bank loan.

ED on Monday said that during investigation, Chaturvedi was “non-cooperative” and did not divulge any information. Hence, he was arrested and remanded in ED’s custody for five days. (FILE)

ED on Monday said that during investigation, Chaturvedi was “non-cooperative” and did not divulge any information. Hence, he was arrested and remanded in ED’s custody for five days.

According to ED, the action was initiated on the basis of a first information report (FIR) lodged with the Central Bureau of Investigation (CBI) in January 2019 against Usher Agro Ltd, Chaturvedi, Manoj Pathak and others.

It has been alleged in the FIR that the group had taken a loan from a consortium of banks and has siphoned it off.

“During investigation, proceeds of crime have been quantified to the tune of ₹915.65 crore. Further investigation has revealed that the promoters had formed 15 shell companies and carried out bogus transactions with the firms. Also, the group companies have carried out bogus transactions with DHFL (Dewan Housing Finance Corporation) group companies,” an ED statement read on Monday.

In 2019, Mumbai Police’s economic offences wing (EOW) had also arrested Chaturvedi in connection with another bank loan fraud case in which he had allegedly availed loan from a foreign bank by submitting forged documents.