ED arrests one person in bank fraud case; accused remanded in custody till Sep 6

New Delhi [India], August 28 : The Enforcement Directorate (ED) said on Monday that it has arrested a person under the provisions of the Prevention of Money Laundering Act (PMLA) in a case connected to a bank fraud amounting to Rs 700 crore against RP Infosystems Ltd.
The accused identified as Pritimoy Chakraborty was produced before the court which remanded him to ED custody till September 6.
The ED initiated the PMLA investigation based on FIRs registered by the BSFC, a specialised unit of the Central Bureau of Investigation (CBI), in Kolkata under various sections of the Indian Penal Code (IPC) and the Prevention of Corruption Act against RP Infosystems Ltd and its directors.
The CBI also filed two charge sheets in the matter.
The ED investigation revealed that RP Infosystems availed various credit facilities from a consortium of banks on the basis of false and fabricated stocks and financials of the company.
The company did not repay the dues of the consortium of banks, thus cheating it of Rs 700 crore.
It was further revealed that against the said credit facilities, R.P. Infosystems opened a number of ILCs in favour of various shell companies. Subsequently, the said firms discounted the ILCs in their accounts on the basis of false tax invoices, challans, lorry receipts etc. without any actual business transactions.
Earlier, the ED had arrested two persons named Suresh Kumar Maharwal and Vikas Joshi in the said case, who are presently in judicial custody.
The ED had also issued one provisional attachment order attaching movable and immovable properties valued at Rs 22.67 crore besides filing one charge sheet in 2018.
The federal agency also said that further investigation is under progress.