The Enforcement Directorate’s Ahmedabad Zonal Office has lodged a prosecution complaint under the Prevention of Money Laundering Act (PMLA), 2002, related to an alleged bank fraud case involving Shree Om Fab and others. This action follows an investigation initiated by the ED based on a FIR filed by the Central Bureau of Investigation (CBI) subsequent to a complaint by the Oriental Bank of Commerce.
A chargesheet was filed by the CBI on December 16, 2019, outlining the results of its inquiry. Shree Om Fab, Shree Baba Textile, and Shree Laxmi Fab, all proprietorship concerns of Ranjit Loonia, were granted credit facilities totaling Rs 9.95 crore, which rose to about Rs 10.9 crore with accrued interest when the accounts turned into non-performing assets.
Allegedly, Loonia collaborated with a panel valuer, Mayur Shah, and others to obtain the loans by submitting false business records and forged documents. The ED claimed that inflated valuation reports of mortgaged properties were orchestrated to secure higher credit limits. It was also revealed that the sanctioned cash credit limits were not utilized for legitimate business purposes.
According to officials, the loan funds were diverted to various bank accounts without genuine business transactions, withdrawn in cash, and used for purposes like buying bullion and repaying housing loans. Searches conducted at locations associated with the accused during the investigation led to the recovery of valuables valued at around Rs 3.67 crore.
The ED additionally provisionally attached two immovable properties valued at Rs 53.50 lakh at the time of attachment, with their current market worth estimated at about Rs 4.65 crore. Proceeds of crime were identified, traced, and attached under the PMLA regulations, with ongoing investigations into the matter.
