The Enforcement Directorate (ED) in Shimla has returned immovable properties worth Rs 1.69 crore to the State Bank of India, the victim bank, in the M/s Arvind Casting Pvt. Ltd. bank fraud case. This action is part of efforts to return the proceeds of crime to rightful claimants.
Previously, the ED had also restored properties valued at Rs 1.44 crore to the Bank of India in the same case. The ED initiated an investigation based on an FIR filed at the Police Station in Haroli, Una district, Himachal Pradesh, under various sections of the IPC, 1860, against Arvind Casting Pvt. Ltd. and others for fraudulent loan activities.
The investigation uncovered that Arvind Casting Pvt. Ltd. and other accused had obtained credit facilities in 2014 through misrepresentation and diverted funds to related entities instead of using them for the intended purposes. This led to financial institutions suffering losses due to the wrongful diversion of funds.
In a move to restore proceeds of crime to legitimate claimants and victims of money laundering, the ED submitted a no-objection before the Special Judge of Dharamsala for the release of attached immovable properties to the State Bank of India. The Special Judge subsequently ordered the restitution of properties worth Rs 1.69 crore to the bank, bringing the total restituted amount to Rs 3.13 crore in the case.
