The Enforcement Directorate’s Bengaluru Zonal Office has provisionally attached 11 properties totaling Rs 16.95 crore owned by Rajesh V.R. and Nagavalli B.S. and their associated entities. These assets, including land parcels, plots, and buildings in Ramanagara, Mysuru, and Bengaluru districts, are linked to a cooperative society fraud case. The ED’s action follows allegations that the properties were acquired through fraudulent activities associated with a cooperative society in Bengaluru.
The ED’s investigation, based on an FIR filed by the Subramanyapura police station in Bengaluru, targets Sirivaibhava Souharda Pattina Sahakari Niyamitha, its president Nagavalli B.S., CEO Rajesh V.R., and others. The FIR stemmed from a complaint by the Managing Director of Karnataka State Federal Cooperative Limited, accusing the society of granting loans to entities owned by its president and CEO without proper surety, leading to losses for the cooperative and its depositors. The accused are suspected of misusing their positions to divert public deposits for personal gain, causing losses to depositors.
According to the ED, Rajesh V.R. and Nagavalli B.S., a married couple who founded the cooperative society in 2011, allegedly diverted around Rs 65 crore of public deposits. The funds were channeled into personal accounts and entities believed to be involved in money laundering. These diverted funds were reportedly used for property purchases, business investments, and personal expenses. The investigation under the Prevention of Money Laundering Act continues, with further inquiries ongoing.
