The attached assets include land and building of SIV Industries, Coimbatore, an office building, a farm house and a bungalow in Ahmedabad and seven fixed deposits, said the ED, adding the attachment were done under Prevention of Money Laundering Act, 2002 (PMLA).
The ED took up a case of bank fraud for investigation under PMLA against Fairdeal Supplies Ltd and its directors Ram Prasad Agarwal, Narayan Prasad Agarwal, Pawan Kumar Agarwal and Saurabh Jhunjhunwala and others on the basis of charge-sheet filed by Central Bureau of Investigation (CBI) before a special court in Kolkata for defrauding UCO Bank, Kolkata.
It was revealed that Fairdeal Supplies Ltd and its directors availed various credit facilities and Foreign Letters of Credit (FLCs) from UCO Bank, Flagship Corporate Branch, Kolkata fraudulently by submitting inflated and fabricated stock statement, said the ED.
Fairdeal Supplies Ltd did not route the sale proceeds of coal imported under the Foreign Letters of Credit through UCO Bank resulting in accumulation of the Letters of Credit.
"The funds were diverted for other purposes, thereby defrauding the Bank to the tune of Rs 231.95 crore," the ED said.
Investigation also revealed that directors of Fairdeal Supplies Ltd directed the buyers of coal to remit the sale proceeds of imported coal to the accounts other than the account of the firm with UCO Bank.
Accordingly the buyers of coal deposited the sale proceeds in the accounts other than the accounts of Fairdeal Supplies Ltd.
From these accounts with banks other than UCO Bank the funds were further diverted to acquire assets.
( With inputs from IANS )