Business Standard

ED arrests Karnal-based businessman in Rs 155 crore money laundering case

The Enforcement Directorate has arrested a Karnal-based businessman under the anti-money laundering law in a case linked to alleged bank loan fraud of Rs 155 crore, the agency said on Wednesday.

Money laundering, scam, fraud

Press Trust of India New Delhi
The Enforcement Directorate has arrested a Karnal-based businessman under the anti-money laundering law in a case linked to alleged bank loan fraud of Rs 155 crore, the agency said on Wednesday.
Ashok Kumar Mittal, director of Mahesh Timber Private Limited, was taken into custody and produced before a special Prevention of Money Laundering Act (PMLA) court in Panchkula on Tuesday, it said in a statement.
The court remanded him to ED custody for four days.
"Mittal was non-cooperative during investigation and resorted to withholding of relevant information and was misleading the investigation," the ED alleged.
According to the agency, Mittal is the "key director of Mahesh Timber Private Limited, who in connivance with bank official has fraudulently got Letter of Credits limit enhanced from Rs 21 crore to Rs 195 crore, which were diverted to Singapore-based related entities of Mittal on account of fake imports."

"They caused overall wrongful loss to the bank to the tune of Rs 155 crore and wrongful gains to themselves in this manner," it said.
The money laundering case stems from a CBI FIR against Mittal and others for criminal conspiracy, cheating, forgery and criminal misconduct of public servant.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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First Published: May 25 2022 | 2:17 PM IST

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