Bank loan fraud: ED attaches Rs 110-cr assets of Simbhaoli Sugar company

The ED Tuesday said it has attached assets worth Rs 110 crore of Simbhaoli Sugars Limited, one of India's largest sugar mills, in connection with a money laundering probe against the firm related to an alleged bank loan fraud.

The agency said a provisional order was issued under the Prevention of Money Laundering Act (PMLA), for attachment of properties like land, buildings, plant and machinery of the distillery unit of the company located in Simbhaoli, Hapur in Uttar Pradesh.

The total value of assets under the latest attachment order is Rs 109.8 crore, the Enforcement Directorate said in a statement.

A PMLA case was filed against the firm by the agency last year after taking cognisance of a CBI FIR against Simbhaoli Sugars Ltd and others for "cheating and defrauding Oriental Bank of Commerce on the pretext of financing the sugarcane farmers."