Enforcement Directorate Seizes Assets in Major Bank Fraud Case
The Enforcement Directorate (ED) has taken action in a significant bank fraud case by attaching assets worth Rs 503.16 crore. These assets are located across Maharashtra, West Bengal, Bihar, Jharkhand, and Andhra Pradesh. The case involves Corporate Power Limited and its promoters, including Manoj Jayaswal, Abhijeet Jayaswal, and Abhishek Jayaswal, under the Prevention of Money Laundering Act, 2002.
Details of the Case
The ED’s investigation is based on a First Information Report (FIR) by the Central Bureau of Investigation. The report accuses Corporate Power Limited and its directors of criminal conspiracy, cheating, and forgery. The Union Bank of India claims that the accused submitted false project cost statements to secure loans and misused bank funds, leading to a loss of Rs 4,037 crore.
Assets Attached
The attached assets include bank balances, mutual funds, shares, and properties acquired in the names of shell companies and family members of Manoj Kumar Jayaswal. These were attached on October 24.
Previous Actions
Earlier, the ED conducted searches in Nagpur, Kolkata, and Visakhapatnam, seizing documents and freezing assets worth Rs 223.33 crore, including shares, mutual funds, and cash.
Doubts Revealed
Enforcement Directorate -: The Enforcement Directorate (ED) is a government agency in India that investigates financial crimes like money laundering and fraud. They make sure that people and companies follow the rules about money.
Assets -: Assets are things that have value, like money, property, or other valuable items. In this case, the ED has taken control of these valuable things because they are linked to a crime.
Bank Fraud -: Bank fraud is when someone tricks a bank to get money or benefits illegally. It’s like cheating the bank to get money that doesn’t belong to you.
Corporate Power Limited -: Corporate Power Limited is a company involved in this bank fraud case. They are accused of doing illegal activities that caused a big loss to a bank.
Manoj Jayaswal -: Manoj Jayaswal is one of the people who run Corporate Power Limited. He is accused of being involved in the bank fraud case.
Prevention of Money Laundering Act, 2002 -: This is a law in India that helps stop money laundering, which is hiding where illegal money comes from. It gives the government power to investigate and take action against such crimes.
CBI -: CBI stands for Central Bureau of Investigation. It is India’s main agency for investigating serious crimes, like fraud and corruption.
Conspiracy -: Conspiracy means a secret plan made by a group of people to do something illegal or harmful. In this case, it refers to planning the bank fraud.
Cheating -: Cheating is when someone acts dishonestly to gain an advantage. Here, it means tricking the bank to get money illegally.
Forgery -: Forgery is making fake documents or signatures to deceive others. In this case, it means creating false papers to trick the bank.
Union Bank of India -: Union Bank of India is a large bank in India that provides financial services to people and businesses. It is the bank that lost money in this fraud case.
Nagpur, Kolkata, Visakhapatnam -: These are cities in India where the ED conducted searches to find and seize assets related to the bank fraud case.
