ED provisionally attaches assets worth crores of Mumbai-based construction firm

The Enforcement Directorate on Thursday provisionally attached immovable properties worth over Rs 4 crore in connection with the bank fraud case of Ashoka Property Developers and others.

The ED’s Mumbai Zonal Office provisionally attached land, residential flats and commercial buildings worth Rs 4.19 crore in Mumbai and Uttar Pradesh’s Jaunpur under the provisions of the Prevention of Money Laundering Act (PMLA), 2002.

The assets belonging to Ashok Kumar Singh, Aashish Kumar Singh, Sadashiv Mehul Pandey, and Janardhan Pandey were attached through their beneficially owned companies/entities.

The financial watchdog initiated investigations, taking action in a case registered by the Central Bureau of Investigation (CBI) and the Economic Offences Wing (EOW), Mumbai under various sections of the Indian Penal Code (IPC), 1860.

The ED action came after a complaint was filed by the Central Bank of India against Ashoka Property Developers, Ashok Kumar Singh, Ashish Kumar Singh and others. The CBI has filed chargesheet in the matter.

The ED investigation revealed that Ashok Kumar Singh (Proprietor of Ashoka Property Developers) and Ashish Kumar Singh, in connivance with Sadashiv (also known as Mehul Pandey), Janardan Pandey and others committed bank fraud by orchestrating a criminal conspiracy using fabricated and forged documents with the intention of deceiving the banks, to sanction loans amounting to Rs 17 Crore.

The funds from this amount were siphoned off by diversion through layering by related and shell entities for their personal gains, with no intention of repaying the borrowed amount.

ED said that it was further investigating the matter.