Mumbai: The Enforcement Directorate (ED) Panaji zonal office has provisionally attached properties worth Rs 2.86 crore in South Goa in connection with a Rs 7-crore bank fraud involving Canara Bank. The attachment was made under the Prevention of Money Laundering Act (PMLA) through an order dated August 28, The central agency said on Friday.
Details of Attached Assets
The attached assets include 22 plots of land in Dharbandora owned by Riyaz Shaikh, two plots in Cuncolim, and a residential villa in Fatorda linked to managing partner Aditya Angle. The properties were attached as they were acquired using illicit funds and represent the value of the proceeds of crime, the ED said.
Background of the Case
The ED action follows a chargesheet filed by the CBI’s Anti-Corruption Bureau, Goa, against M/s Crown Minerals Trading Corporation (CMTC) and its partners. The ED alleged that the accused conspired to cheat Canara Bank by fraudulently availing a loan facility of Rs 7 crore, which was later defaulted upon.
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How the Fraud was Carried Out
ED investigations revealed that CMTC partners secured the loan under the pretext of trading in raw iron ore. The accused allegedly mortgaged properties that were already pledged with multiple financial institutions. Once the loan was disbursed, the funds were siphoned off into the personal and proprietary accounts of the partners through fake business transactions. “These illicit proceeds of crime were then used for personal enrichment and to acquire additional immovable properties,” the agency said.
