Assets worth more than Rs 185 crore of a Chandigarh-based pharmaceutical company have been attached under the anti-money laundering law in connection with a case of alleged bank loan fraud, the Enforcement Directorate said Tuesday.
Buildings, plant and machinery of the company, Surya Pharmaceuticals Ltd., and some linked entities have been attached after a provisional order was issued under the Prevention of Money Laundering Act (PMLA).
The money laundering case stems from two CBI FIRs — filed on the complaint of State Bank of India (SBI), 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 federal agency said in a statement.
The ED said Letters of Credit were availed in the name of the company in lieu of “bogus invoices” and alleged “discounting of these LoCs by associated entities.” “Through a web of fraudulent transactions, the accused siphoned off the proceeds of the credit facilities taken from the banks and used for purchase of various assets in the name of the company, individuals and associated entities,” the ED said.
