In a significant development related to the Punjab and Maharashtra Cooperative (PMC) Bank loan fraud, the Enforcement Directorate (ED) has attached shops valued at over ₹13 crore in a Pune SGS mall. This move is part of the ongoing money laundering investigation connected to the alleged ₹6,117.93 crore fraud committed by Housing Development and Infrastructure Development Pvt. Ltd. (HDIL) and its promoters, Rakesh Kumar Wadhawan and his son Sarang Wadhawan.
Background of the Case: The ED initiated its probe following an FIR filed by PMC Bank against Joy Thomas, the suspended managing director, Waryam Singh, ex-chairman of PMC Bank, and the Wadhawans of HDIL. The agency alleges that despite repeated defaults in payments by HDIL and its group companies, credit limits were increased to prevent their classification as non-performing assets (NPA).
Money Laundering Allegations: The ED contends that Rakesh and Sarang Wadhawan, as primary directors of HDIL, laundered the proceeds of crime through bank accounts under their control. This included diverting funds into personal accounts and those of associates to acquire assets. The investigation also revealed that HDIL funneled proceeds of crime while concealing this from PMC Bank, portraying funds as untainted.
Legal Actions and Arrests: Rakesh and Sarang Wadhawan, the main accused, are currently under judicial custody after their arrest. The ED has swiftly acted by attaching assets worth ₹13 crore and identified a total of ₹675.27 crore as proceeds of crime. Prosecution complaints and supplementary complaints have been filed against them and 36 other individuals/entities.
