Bank fraud case: ED attaches assets worth Rs 33.71 cr under PMLA

The Enforcement Directorate (ED) on Wednesday attached assets of Rs 33 crores owned by Era Infra Engineering Limited, under the Prevention of Money Laundering Act, 2002 (PMLA) in a case related to bank fraud. The attached assets include two Tunnel Machines (at DMRC, Mundka, Delhi) valued at Rs 18.31 Crore and Rs. 15.40 Crore respectively owned by M/s. Era Infra Engineering Limited.

New Delhi: The Enforcement Directorate (ED) has attached two tunnel boring machines, kept at a DMRC complex in Delhi, as part of its money laundering probe linked to an alleged bank fraud by an infrastructure and engineering company, the central probe agency said on Wednesday.

It said a provisional order for attachment of properties worth Rs 33.71 crore of Era Infra Engineering Limited (EIEL) has been issued under the Prevention of Money Laundering Act (PMLA).

"The attached assets include two tunnel machines kept at the Delhi Metro Rail Corporation (campus) at Mundka in Delhi valued at Rs 18.31 crore and Rs 15.40 crore respectively. They are owned by Era Infra Engineering Limited," the agency said in a statement.

The agency slapped money laundering charges against the firm and booked its CMD Hem Singh Bharana, unknown bank officials, some private people and others after studying a CBI FIR of April, 2018.

The company, its promoter and others are being probed by the two central probe agencies in a case "related to criminal conspiracy, cheating, forgery and use of forged documents and criminal misconduct by Hem Singh Bharana and other accused persons in sanction, disbursement and utilisation of two-term loans issued by the UCO Bank amounting to Rs 650 crore".

The probe found the ED alleged, that the "sanctioned funds were disbursed and utilised in a manner defying the sanctioned purpose."

"Out of Rs 450 crore disbursed by UCO Bank amounts of Rs 211 crore and Rs 25 crore were utilised for purposes beyond the purview of the sanctioned terms."

"Amount diverted by EIEL comes to Rs 236 crore out of the term loan of Rs 450 crore. Further, an amount of Rs 14.70 crore was diverted from the other sanctioned amount of Rs 200 crore and thus the total amount diverted by EIEL in this manner comes to Rs 250.70 crore which qualifies as proceeds of crime under PMLA," the agency said.

Assets of the company worth Rs 5.72 crore were earlier similarly attached by the ED.

(With inputs from ANI and PTI)