ED arrests two in bank fraud case in Hyderabad
Hyderabad (Telangana) [India], Jan 15 (ANI): The Enforcement Directorate (ED) has arrested GSC Raju and his close associate AV Prasad in an alleged siphoning off funds and bank fraud case amounting to Rs 1,768 crore.
ANI
Jan 15, 2020 15:35 IST
Hyderabad (Telangana) [India], Jan 15 (ANI): The Enforcement Directorate (ED) has arrested GSC Raju and his close associate AV Prasad in an alleged siphoning off funds and bank fraud case amounting to Rs 1,768 crore.
Raju, promoter of Leo Meridian Infrastructure Projects & Hotels Ltd (LMIPHL), and Prasad were arrested under the provisions of Prevention of Money Laundering Act (PMLA), 2002.
PMLA Special Judge here has granted ED the custody of both the accused for seven days. Their custodial interrogation is under progress.
Last year on December 30, the ED had attached assets totalling Rs 250.39 crore belonging to LMIPHL, GSC Raju, his family, his 'benamis' and directors of LMIPHL under the provisions of PMLA.
"Investigation under the PMLA has revealed that a well-planned conspiracy was executed by GSC Raju along with his associates at M/s LMIPHL to defraud the banks by creating an illegal layout and selling plots to 315 persons," stated an ED release.
"He further mortgaged parts of the already sold lands to the Banks to obtain loan for a resort project. Even approach roads were also fraudulently mortgaged to the Banks and revenue records were manipulated to cheat the Banks and Plot owners," added the ED release. (ANI)
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