The Enforcement Directorate (ED) has attached six immovable properties worth Rs 20.65 crores of a Tamil Nadu-based businessman under Prevention of Money Laundering Act, 2002 (PMLA) in connection with a bank fraud case.
According to the ED, the properties belong to a businessman named S Galeel Rahman.
"The attached immovable assets are in the form of a factory building along with land measuring 2.92 acres at Konamedu Industrial Estate, Vaniyambadi, residential flat in Chennai and plots in Vellore," the ED said in a statement.
The ED said that it had initiated investigations under the provisions of PMLA based on an FIR registered by the Central Bureau of Investigation (CBI) and Anti Corruption Bureau (ACB), Chennai, against accused Tomy G Poovattil, S Galeel Rahman and others for defrauding the Guindy Branch of Indian Bank under relevant sections of the Indian Penal Code and the Prevention of Corruption Act.
"Investigation under PMLA has revealed that during the period from 2012 to 2014, Tomy G Poovattil, the then AGM/BM of the Guindy Branch of Indian Bank had conspired with accused S Galeel Rahman, Sirajuddin and others to cheat Indian Bank by fraudulently sanctioning overdraft and credit facilities to various entities," the statement said.
It said that S Galeel Rahman managed to avail loan on the basis of fabricated documents in the name of his firms Nafisa Overseas and Safa Leathers and had forged the documents to inflate the properties which were placed as collateral security.
"Over a period, these credit facilities became non-performing assets including accrued interest totalling to the tune of Rs 23.46 crore as on date of filing of the FIR. Investigation under PMLA revealed that these loan proceeds were laundered among a number of bank accounts maintained by the accused, his family members and associates," the statement said.
The Economic Offences Wing (EOW) also said the investigation revealed that the accused has made a maze of transactions to project the fraudulent transactions as proceeds of genuine trade-based transactions for availing further loans from the bank. It said that the sanctioned amounts were diverted and siphoned off.
Further investigation in the matter is under progress.
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