In accordance with the Prevention of Money Laundering Act (PMLA), 2002, the Directorate of Enforcement (ED) detained Ashok Kumar Mittal, Director of M/s. Mahesh Timber Private Limited, Karnal, Haryana, on May 23, 2022.
On the basis of an FIR filed by the CBI in New Delhi for criminal conspiracy, cheating, forgery, and criminal misconduct of public officials against the Company, its directors, and others, the ED opened a money laundering investigation.
Ashok Kumar Mittal, a key director of M/s. Mahesh Timber Private Limited, illegally increased a Letter of Credit limit from Rs. 21 crores to Rs. 195 crores. This money was then routed to Ashok Kumar Mittal’s connected firms in Singapore on the basis of fictitious imports. In doing so, they brought about a total unjust loss to the bank of Rs. 155 Crore as well as wrongful benefits to themselves.
Ashok Kumar Mittal acted uncooperatively throughout the inquiry, withheld important details, and misled investigators. Following his arrest, he was brought before the Ld. Special Court in Panchkula, Haryana on May 24, 2022, and was confined there for a period of four days. Further Investigation is under process.
