New Delhi (The Hawk): In connection with a money laundering case for defrauding Axis Bank, the Enforcement Directorate (ED) announced on Thursday that it had attached immovable assets belonging to Saravana Stores (Gold Palace) in Chennai totaling Rs 66.93 crore.
On the basis of a FIR filed by the Central Criminal Branch, Chennai, the ED opened the PMLA investigation
"The late Shri Pallakudurai, P. Sujatha, and YP Shiravan Partners of Saravana Stores (Gold Palace) are accused of approaching Axis Bank with the purpose to defraud it. According to the PMLA probe, Saravana Store (Gold Palace) in Chennai obtained a loan using false and fake documents "ED said.
Investigations showed that the accused overstated the inventory, used OCC limits to repay loans obtained from other financial institutions (banks/NBFCs), and committed other irregularities. As a result, they misappropriated and diverted funds for which they had not been authorised and defrauded the bank.
The accused firm created proceeds of crime from illicit activity totaling Rs 81.66 crore, of which Rs 66.93 crore has now been attached.
(Inputs from Agencies)