Lucknow, Feb 8 The Enforcement Directorate (ED) has provisionally attached two immovable properties, worth Rs 2.15 crore, belonging to businessman Pawan Kumar Sharma under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, in a bank fraud case
The action was carried out on Wednesday. The attached properties, situated in Delhi, consist of commercial and residential buildings registered in the name of Pawan Kumar Sharma, who serves as the controller/ manager/ loan guarantor/ultimate beneficial owner of the business of M/s Govinda International.
The ED in Lucknow had initiated an investigation based on various FIRs registered by the CBI, Dehradun, under sections of the IPC, 1860, and the Prevention of Corruption Act, 1988, related to cheating and forgery against Pawan Kumar Sharma and one of his relatives, Keshav Joshi, proprietor of M/s Govinda International.
The ED investigation, according to official sources, revealed that M/s Govinda International availed cash credit of Rs 15 crore from a government bank in Ghaziabad since March 2017. To secure the credit facility, the firm hypothecated its stock and provided collateral.
According to the ED, the accused persons breached trust by selling the hypothecated goods without the bank’s knowledge, misappropriating the funds and diverting the sale proceeds for personal gain.
This action caused wrongful financial loss to the bank, resulting in the account of M/s Govinda International turning into a non-performing asset (NPA) and being declared a bank fraud by the RBI.
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