ED conducts search operations at several locations in case of ABG Shipyard Limited
Nov 29, 2023
New Delhi [India], November 29 : The Directorate of Enforcement (ED) has conducted search operations under the provisions of the Prevention of Money Laundering Act (PMLA), 2002 at seven locations in Mumbai, Delhi and Pune on November 24 in the case of ABG Shipyard Limited and others.
The searches were conducted at the residences of the persons or family members related to ABG Shipyard Ltd and its related group companies which resulted in the recovery and seizure of unaccounted cash, bullion and jewellery to the tune of approximately Rs 5 Crore.
The ED initiated an investigation on the basis of an FIR registered by the Central Bureau of Investigation, New Delhi against ABG Shipyard Ltd and others for causing a loss to the tune of Rs 22,842 Crore to the consortium of banks led by ICICI Bank.
ED investigation revealed that ABG Shipyard Ltd and its group companies availed various credit or loan facilities from the consortium of banks led by ICICI Bank for the purpose of working capital requirement and capital expenditure and Letter of Credit and Bank Guarantee.
However, ABG Shipyard Ltd. and its group companies have utilized huge funds for purposes other than its stated use and diverted the same through various group companies incorporated in India and abroad.
The ED investigation till now has resulted in provisional attachment of properties worth approximately Rs 2747.69 Crore. A prosecution complaint has also been filed by the ED before the PMLA Court for offences of money laundering.
Searches have resulted in the recovery and seizure of unaccounted Indian Currency, foreign currency, bullion and jewellery to the tune of approximately Rs 5 Crore. (Cash of Indian Currency Rs 85 lakh, foreign currency equivalent to INR 46.85 lakh, bullion gold and silver coins worth Rs 86.52 lakh and Jewellery worth Rs 2.83 Crore). Several incriminating documents and materials have also been seized.
Further investigation is under progress.
