Enforcement Directorate (ED) officials on Wednesday provisionally attached five immovable properties worth ₹4.83 crore belonging to businessman S.K. Subramanya Reddy and others in connection with a bank fraud. The properties are in and around Bengaluru.
In a press release, the Enforcement Directorate stated that it launched an investigation on the basis of an FIR filed by the Central Bureau of Investigation (CBI) and the Anti Corruption Bureau, Bengaluru against T.L. Praveen Kumar, the then branch manager at the Bank of Baroda, Kengeri branch. Along with Reddy and others, he allegedly sanctioned 186 gold loans to 57 borrowers to the tune of ₹12 crore against a pledge of fake gold ornaments. All the borrowers were allegedly associated with Reddy and had pledged the fake gold to avail of the loan on his behalf.
The investigation by the ED revealed that S.K. Subramanya Reddy used the money to settle his outstanding loans and overdraft facilities at Syndicate Bank, and got his mortgaged properties released.
“Accordingly, identified assets to the tune of ₹4.83 crore in the form of immovable properties have been provisionally attached under the Money Laundering Act. Further investigation is in progress,” stated the release.
