The Enforcement Directorate has attached movable and immovable property worth ₹31 crore of the city-based Zylog Systems Ltd under the Prevention of Money Laundering Act, 2002 in a bank fraud case.
It has initiated investigation based on an FIR of CBI, BS&FC, Bengaluru, against the company and its promoters on a complaint from Dena Bank that fictitious shell companies were floated by Zylog. Invoices to purchase software/hardware were created in the name of these companies to avail a loan of ₹100 crore from Dena Bank which was defaulted in repayment.
Investigations also revealed that the said firm defaulted bank loans availed from Andhra Bank and Union Bank of India collectively to the tune of ₹110 crore. Further investigations to identify the proceeds of crime are in progress, says a release from the directorate.