The Enforcement Directorate (ED) has submitted a charge sheet against Hellious Tubealloys Private Limited (HTPL) and its directors for an alleged bank fraud of Rs 28.54 crore involving the Bank of Baroda. The complaint, filed under the Prevention of Money Laundering Act (PMLA), stems from an investigation initiated based on an FIR by the Central Bureau of Investigation (CBI)’s Anti-Corruption Branch in Gandhinagar. The case centers on offenses under various sections of the Indian Penal Code and the Prevention of Corruption Act.
The ED’s investigation uncovered that HTPL received credit facilities worth Rs 29.67 crore from the bank, with a significant portion diverted to another entity, SLS Stainless Private Limited, without legitimate business dealings. Allegations include the issuance of fake Letter of Credits, submission of falsified documents, and misuse of funds for loan repayment and other purposes, resulting in a wrongful loss of Rs 28.54 crore to the bank. The bank managed to recover Rs 5.64 crore through asset auctions and other recovery methods.
Search operations conducted by the ED led to the seizure of incriminating documents. The CBI’s Anti-Corruption Branch in Gandhinagar had previously filed a charge sheet in the case, and the ED subsequently issued a provisional attachment order for immovable properties valued at Rs 19.37 crore. The investigation remains ongoing.
