Ahmedabad: The Enforcement Directorate (ED) has carried out searches at six residential and office premises of Ahmedabad based consultancy firms and builder group in connection with a bank fraud case and seized Rs 5.99 crore.
The ED raided the premises of the True Value Group and M/s Vipul & Manish Associates in connection with a bank fraud case of Ardor Group of Companies.
The searches also resulted in the seizure of foreign currency along with various incriminating documents.
The ED initiated an investigation under the Prevention of Money Laundering Act (PMLA) on the basis of six FIRs registered by CBI, ACB, Gandhinagar and an FIR by CBI, BS&FC, Mumbai, wherein, it was alleged that the Ardor Group of Companies and its Directors, in connivance with unknown bank officials, had cheated and caused wrongful loss to the consortium of banks amounting to approximately Rs 488 crores.
The investigation conducted so far under PMLA resulted into identification of assets totalling to Rs 204.27 crore. These assets being the part of proceeds of crime have been provisionally attached under PMLA.
The investigation also revealed that M/s Vipul & Manish Associates and True Value Management Consultant Pvt Ltd floated numerous dummy companies and made their relative and associate person directors of these companies to do circular trading with a purpose to inflate books of accounts of Ardor Group Companies to facilitate them to obtain huge funds from a consortium of banks which later become NPA.
Further investigation is under progress.