The Enforcement Directorate (ED) has attached properties worth ₹12 crore belonging to National Medicine Private Ltd, a pharmaceutical trading company and its directors at Chennai, in a bank fraud case.
Pursuant to a criminal case of cheating and fraudulent availing of cash credit facilities from Union Bank of India, Mount Road branch, Chennai, the CBI filed a case.
Its anti-corruption branch registered a case against the firm and its directors and investigations under Prevention of Money Laundering Act (PMLA) was initiated.
The firm offered a property involved in a civil dispute for title as collateral security, despite the restraint orders of the Madras High Court and fraudulently availed loan facilities to the extent of ₹6.25 crore.
The funds obtained from the bank were diverted for personal use and other than the business requirement of the company. The investigation revealed that the said property fraudulently mortgaged to the bank without a perfect title was involved in money laundering and hence the same was attached. The market value of properties attached is Rs 12 crore. Further investigation is in progress.
