ED attaches Rs 10.63 crore in J&K employment scheme fraud case
The agency provisionally attached 11 properties in Srinagar and Bandipora following an investigation into the misuse of PMEGP loans.
The Enforcement Directorate (ED) on Monday provisionally attached 11 immovable properties worth Rs 10.63 crore in the Srinagar and Bandipora districts of Jammu and Kashmir. According to reports from Times Now and India Today, the action relates to a money laundering probe into the alleged misuse of the Prime Minister's Employment Generation Programme (PMEGP).
The investigation follows two FIRs filed by the Central Bureau of Investigation (CBI) Anti-Corruption Branch in Srinagar. These cases allege that bank officials, borrowers, and private individuals conspired to misappropriate loans sanctioned under the scheme. The agency noted that a new FIR was also registered by the CBI in June.
Surveys conducted by the ED at the Sumbal and Gamud Gadkhud branches of J&K Bank found that 270 term loan accounts and 270 working capital accounts under the PMEGP had become non-performing assets (NPAs). The total outstanding amount in these accounts is approximately Rs 32 crore.
The agency identified Hilal Ahmad Wani and others as key figures in the alleged fraud. It is alleged that the accused used the KYC details of dummy borrowers and submitted fake invoices from non-existent companies to secure funds. The ED suspects the total proceeds of crime amount to around Rs 11.37 crore.
The ED stated that the diverted funds were moved through various bank accounts and used for personal expenses or the construction and renovation of properties held by the accused and their families. The 11 attached assets, consisting of land and buildings, are held by a bank official and suppliers-cum-brokers.
Further investigation into the matter is currently underway, according to the agency.