The Enforcement Directorate (ED) has arrested four persons in connection with the bank fraud case involving Rs 605 crore by Shree Bankey Behari Exports Limited (SBBEL).
The arrested persons are Amar Chand Gupta, Ram Lal Gupta, Raj Kumar Gupta (Directors of SBBEL) and Sanjay Kansal, nephew and employee of Amar Chand Gupta, the ED said in a statement.
The ED initiated money laundering investigation on the basis of an FIR dated February 26, 2020 registered by CBI against SBBEL, its Directors Amar Chand Gupta and others as also other unknown public servants/persons on the allegations that directors of SBBEL conspired to misappropriate bank funds.
They were booked by the CBI for misappropriation of bank funds, criminal breach of trust, manipulation of books of accounts through fictitious entities and sister concerns of SBBEL and have routed funds through shell entities and siphoned off the funds from company’s accounts for their personal gains causing loss to the tune of Rs 605 crore to the public sector banks during 2010 to 2017.
Investigation revealed that the bank funds sanctioned to SBBEL were transferred to personal bank accounts of directors of the firm by routing through their individual proprietorship concerns under guise of genuine sale/purchase transactions and infused as share capital totaling Rs 191 crore in SBBEL by them. The bank funds, which were projected and infused as share capital in SBBEL which were then used to create fixed assets of more than Rs 100 crore by diverting, layering through various entities under their control. Ram Lal Gupta, Raj Kumar Gupta and Sanjay Kansal have been remanded by a special court to seven-day ED custody. Amar Chand Gupta has been remanded for five-day ED custody.