The agency said that a factory building, shops, apartments and land of the company, SA Rawther Spices Private Limited and others were tentatively attached to the PMLA.
The Directorate of Enforcement (ED) seized assets worth more than 145 crore of a Bengaluru-based spice company in a money laundering investigation linked to alleged fraud on loans to the J&K Bank.
The agency said in a statement on Wednesday that a factory building, shops, apartments and land of the company, SA Rawther Spices Private Limited and others were provisionally attached under the Prevention Act. money laundering (PMLA).
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The total value of the attached properties is 145.26 crore, he said. The ED case stems from an FIR filed by the JK Police Anti-Corruption Bureau against the company and its promoter director Syed Anish Rawther, then director of the J&K Bank branch located at BU Infantry Road in Bengaluru and other officials from the same bank. , in August 2019.
“In the FIR it was alleged that SA Rawther Spices Private Limited had defaulted on payment and was declared NPA (non-performing asset) in September 2017. A net amount of 285.81 crore was unpaid with the company in plus unapplied interest of 66.91 crore against mortgaged collateral property of 171 crore, ”the ED said in a statement.
During the same period, he said, the company “also borrowed 16.5 crore from HDFC Bank and 25 crore from RBL Bank and mortgaged the same property, which was already mortgaged from J&K Bank Ltd” . “The branch manager at the time [of J&K Bank] collusion with the promoter / director of the company caused a loss to the public treasury in the amount of 352.72 crore, ”the agency said.
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The company obtained several loans and used them to export goods mainly to related parties and the export earnings were never realized in India, she claimed.
The company also diverted funds to sister / group companies by adjusting their overdue export invoices by releasing new packaging credits, domestic letters of credit (ILC) to transactions with sister companies through the through the hosting of invoices under cover of ILC. “” It was found that SA Rawther Spices Private Limited had resorted to packaging credit loans from J&K Bank and used it for the service of payments to the term loan account of the Central Trade Agency Private Limited, which is a sister company of the old company, ”he said. .