New Delhi, Oct 3 The ED conducted searches at three residential and commercial properties in Gurugram related to the Sravanthi group and its promoter in connection with a Rs 346 crore bank fraud, an official said on Friday.
The Enforcement Directorate (ED), Gurugram zonal office, searched three residential and commercial premises on October 1, said the official in a statement.
The premises were linked to Dandamudi Venkateswara Rao, Promoter of Sravanthi group, M/s Sravanthi Infratech Pvt Ltd, and its group company M/s Sravanthi Energy Pvt Ltd (SEPL) in Gurugram.
The searches were conducted under the provisions of PMLA, 2002, in the case of M/s Hythro Power Corporation Ltd (HPCL) and others in connection with a bank fraud case involving Rs 346 crore, the ED said.
During the search operations, various incriminating documents were seized, it said.
The Enforcement Directorate (ED) is investigating the Sravanthi Group and its promoter, Dandamudi Venkateswara Rao, for alleged money laundering linked to a wider investigation into the functioning of HPCL and its directors for siphoning off and diverting public funds, causing significant losses to banks.
The ED said that the investigation centres on allegations that funds were siphoned off and diverted from HPCL to its own related entities and those of the Sravanthi Group. This was allegedly done to launder money and was part of a larger bank fraud scheme.
The ED's case is based on a fraud reported by the complainant banks, which occurred between 2009 and 2015 and amounted to Rs 346.08 crore.
In earlier searches conducted in October 2024, the ED's Gurugram Zonal Office collected incriminating documents related to various financial and property transactions. These included registration deeds, gift deeds, share purchase and assignment agreements, loan documents, and company ledgers.
At least two directors of HPCL are under scrutiny for siphoning off and diverting public funds, causing significant losses to banks.
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