In a bank fraud case, the Directorate of Enforcement (ED) has temporarily attached immovable properties worth a combined total of Rs. 9.08 crore that belong to the directors of M/s Cethar Ltd. in Trichy and their family members. This was done in accordance with the Prevention of Money Laundering Act (PMLA), 2002. In the months of July 2021 and December 2021, the ED already seized moveable property worth Rs.5.63 crore.
On the basis of an FIR dated 16.10.2018, filed by the CBI’s Banking Security and Fraud Cell, Bangalore, against directors of M/s Cethar Ltd. Trichy under different sections of the Indian Penal Code, ED opened a money laundering probe.
The loan amount approved by the group of banks headed by the Indian Bank was syphoned off by the directors of M/s. Cethar Ltd., Subburaj and his brother N.K. Pothiraaj, with knowledge and criminal intent, according to an investigation under the PMLA. They have stolen public funds and loan money to buy jewellery, personal belongings, and other items that they have given to or transferred to their family members. The case’s estimated proceeds of crime (POC) are Rs. 895.45 crore. The firm is under liquidation, and the process of liquidation is now underway. Forensic findings have also supported these features of forgeries. The subject is currently the subject of more study.
