Srinagar: The Enforcement Directorate (ED) on Monday attached properties worth Rs 4.81 crore belonging to accused persons in a bank fraud case here.
The federal agency said the properties belonged to Isfaq Ahmad Zargar of M/s Nikha Ornaments (12.5 marlas); Khalil Ahmad Mughal of M/s JK Gold Jewellery (14.80 kanals); Mohammad Ashraf Dev of M/s Raf Raf Tours and Travels (1.60 kanals); and Mohammad Sayed Kausar Niyazi of M/s Sayed Tours and Travels (17 marlas).
“Directorate of Enforcement, Srinagar Zonal office, has provisionally attached immovable properties worth Rs 4.81 crore in the form of 18 kanals of land and a building in a fraud case in a Canara Bank branch,” the agency said.
An FIR was registered at Maisuma police station in 2014 after several loan accounts turned “bad” with non-existent properties shown as mortgage by the borrowers.
The ED initiated investigation on the basis of the FIR against the accused persons and others for causing loss to the tune of Rs 5.59 crore to Canara Bank, Budshah Chowk branch here.
The police are yet to file a charge-sheet before the court in this case.
“The investigation has revealed that during 2014 the accused borrowers, along with 26 other borrowers, in connivance of M N Doley, the then branch manager of Canara Bank, availed cash credit loans totalling Rs 30 crore in the names of non-existent proprietorship entities on the basis of forged and fake documents. The borrowers later siphoned off the same after routing the loan proceeds through various bank accounts of other entities/persons ultimately utilising the funds for personal benefits contrary to its project purpose of business,” the ED said.
It said all the loans granted by Dole turned into non-performing assets since 2016 and caused huge losses to the public sector lender Canara Bank.
The agency said further investigation is under progress.
