Mumbai, Aug 25 The Directorate of Enforcement (ED), Mumbai Zonal Office, has arrested Amit Ashok Thepade in connection with a bank fraud of Rs 117.06 crore involving Canara Bank, a statement said on Monday.
The arrest was made on Sunday, August 24, under provisions of the Prevention of Money Laundering Act (PMLA), 2002.
According to the ED, Thepade -- who had been evading authorities for months -- was traced to a five-star hotel in South Mumbai, where he had been discreetly staying for the past two months.
Acting on actionable intelligence, ED officials apprehended him and carried out searches at the premises.
The operation led to the freezing of more than 50 bank accounts and the seizure of assets, including Rs 9.5 lakh in cash, bullion, gold and diamond jewellery worth Rs 2.33 crore, two vehicles, and multiple digital devices suspected to contain crucial financial records.
The Special Court (PMLA) has remanded Thepade to ED custody for five days.
The money laundering probe stems from two FIRs registered by the CBI, ACB Pune, against Galaxy Constructions & Contractors Pvt Ltd (GCCPL) and Mitsom Enterprises Pvt Ltd (MEPL) -- both firms owned and controlled by Thepade.
ED Investigations revealed that the companies had fraudulently availed credit facilities from Canara Bank by mortgaging properties already sold to third parties or by pledging the same properties multiple times.
The sanctioned funds were then allegedly siphoned off for personal enrichment rather than being used for business purposes.
According to the ED, Thepade was the principal conspirator who created a complex financial network to layer and integrate the illicit proceeds.
Through forensic financial analysis and extensive surveillance, investigators tracked multiple suspicious transactions designed to obscure the true origin of the proceeds of crime and project them as legitimate business income.
Officials said his arrest is a significant step in unravelling the laundering channels and identifying accomplices who may have aided in diverting and concealing the funds.
Further investigation is underway.
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