New Delhi: The Enforcement Directorate (ED) said on Thursday June 16 that it has attached movable and immovable assets worth Rs 17.70 crore held in the name of ABC Cotspin Pvt Ltd and other related entities in connection with a money laundering case pertaining to a bank loan fraud to the tune of Rs 804.49 crore.
The ED had initiated the investigation under the Prevention of Money Laundering Act (PMLA) against ABC Cotspin Pvt Ltd, its director Ashish Sureshbhai Jobanputra and others on the basis of a case registered by the CBI.
It was alleged that ABC Cotspin defrauded the State Bank of India (SBI) and the Bank Of Baroda (BoB) to the tune of Rs 804.49 crore.
During its probe, the ED learnt that the said company was availing bill discounting facility from the above-mentioned banks against Letter of Credit (LOC) of prime banks.
During 2014-15, the prime accused, Jobanputra, reportedly signed fake export documents and presented them to SBI and BoB without making any genuine exports.
Jobanputra got these fake export bills discounted from the banks, which remained unpaid and caused losses to the banks.
“Now the ED has traced various properties held in the names of ABC Cotspin and other related entities and persons, and attached movable and immovable properties worth Rs 17.70 crore. The total attachment in this case till date amounts to Rs 31.20 crore,” a source in the ED said.