New Delhi, October 19
The Enforcement Directorate (ED) has issued a provisional attachment order under provisions of the Prevention of Money Laundering Act (PMLA) to seize assets worth more than Rs 185 crore of a Chandigarh-based pharmaceutical company in a case linked to alleged bank loan fraud.
In an official statement, the ED said buildings, plant and machinery of the company — Surya Pharmaceuticals Ltd. — and some linked entities had been attached after a provisional order was issued under the PMLA.
The ED’s case under provisions of the PMLA is based on two CBI FIRs filed on the complaint of State Bank of India, Chandigarh, and Punjab and Sind Bank, Karnal, against the company, its managing director Rajiv Goyal and others for “defrauding” the banks to the tune of Rs 828 crore, the agency said in the statement.
The ED alleged letters of credit (LoCs) were availed in the name of the company in lieu of “bogus invoices” and “discounting of these LoCs by associated entities” was done.
“Through a web of fraudulent transactions, the accused siphoned the proceeds of the credit facilities taken from the banks and used these for purchase of various assets in the name of the company, individuals and associated entities,” the ED alleged in the statement.
