J&K Bank loan fraud: ED attaches assets of firm trading in spices
New Delhi, September 30
The Enforcement Directorate (ED) today said it had issued a provisional attachment order under the Prevention of Money Laundering Act to seize assets worth Rs 145.26 crore belonging to SA Rawther Spices Pvt Ltd and others in the J&K Bank loan fraud case.
Officials in the ED said the attached assets include immovable properties in the form of factory building, shops, flats and land.
The ED has initiated investigation under the criminal provisions of the PMLA on the basis of an FIR registered by the Anti-Corruption Bureau of J&K against Syed Anish Rawther, promoter director of the beneficiary company and then branch head of J&K Bank, BU Infantry Road, Bengaluru branch, the official said.
The official said the investigation revealed that the accused firm obtained multiple loans and used the same to export goods mostly to related parties and the export proceeds were never realised in India.
“The firm diverted the funds to sister concerns by adjustment of their overdue export bills by releasing fresh packing credit, inland letters of credit (ILC) towards dealings with sister concerns by way of accommodation of bills under garb of ILC. The firm also availed packing credit loans from J&K Bank and used it for servicing installments towards term loan account of Central Trade Agency Private Ltd, which is a sister concern of SA Rawther Spices,” he said. — TNS
