New Delhi (Agency): In a significant development in the fight against financial fraud, the Directorate of Enforcement (ED) conducted search operations across Mumbai, Delhi, and Pune, targeting ABG Shipyard Limited and its affiliates under the Prevention of Money Laundering Act (PMLA), 2002. The raids conducted on November 24, 2023, led to the recovery and seizure of unaccounted cash, bullion, and jewellery worth approximately Rs. 5 Crore.
The ED’s investigation was initiated based on a FIR registered by the Central Bureau of Investigation (CBI), New Delhi, against ABG Shipyard Ltd. The company is accused of causing a staggering loss of Rs 22,842 Crore to a consortium of banks led by ICICI Bank. The ED’s probe has uncovered that ABG Shipyard Ltd. and its group companies misused substantial funds meant for working capital requirements and other stated purposes, diverting them through various group entities in India and abroad.
This financial malpractice has led to the provisional attachment of properties valued at around Rs.2747.69 Crore. The ED has already filed a Prosecution Complaint before the PMLA Court for offences of money laundering linked to this case.
The recent searches have resulted in the seizure of Indian and foreign currency, bullion, and jewellery totaling Rs. 5 Crore. This includes Indian currency worth Rs 85 lakh, foreign currency equivalent to INR 46.85 lakh, bullion (gold & silver coins) worth Rs 86.52 lakh, and Jewellery valued at Rs. 2.83 Crore. Additionally, several incriminating documents and materials were also seized during these operations.
The ED’s action against ABG Shipyard Limited represents a significant step in unraveling complex financial crimes and reaffirms the agency’s commitment to combating money laundering. This case sheds light on the intricate networks used to siphon off funds and the challenges faced by enforcement agencies in tracking and recovering these assets.
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