ED raids in bank fraud case, freezes ₹35.71 crore FD in Singapore account

The Enforcement Directorate's Mumbai Zonal Office has conducted raids on six residential and commercial premises linked to Gazanan Gangamay Industry LLP (GGI LLP) in Mumbai and Aurangabad. The action was taken under the Prevention of Money Laundering Act (PMLA), 2002, based on an FIR and chargesheet filed by Pune CBI's Anti-Corruption Branch.

According to ED, GGI LLP had taken a loan from a consortium of banks led by Bank of India, which later turned into a non-performing asset. The consortium banks declared approximately ₹135 crore as fraud. Investigators found that GGI LLP's former partner Nitin Ramchandra Jadhav allegedly diverted funds through multiple entities using round-tripping and complex diversion networks, routing money through alleged shell companies and entry providers to various accounts.

The investigation revealed large-scale cash withdrawals were made to conceal the actual use and transaction trail of proceeds derived from the alleged crime. A fixed deposit of ₹35.71 crore in a Singapore account has been frozen.