Four Borivali flats attached in PNB fraud case handed over to liquidator

To expedite restitution of properties to the victim banks, the ED and the banks agreed on a common stand and moved the Special PMLA Court, Mumbai, with a joint application. The court directed the ED to facilitate banks and liquidators of various Gitanjali Group companies in carrying out valuation and auction of attached or seized properties. After the auction, the sale proceeds are to be deposited as fixed deposits in PNB/ICICI Bank.
ED’s investigation under PMLA revealed that Mehul Choksi, along with his associates and Punjab National Bank officials, allegedly fraudulently obtained Letters of Undertaking and Foreign Letters of Credit between 2014 and 2017, causing a wrongful loss of Rs 6,097.63 crore to PNB. Choksi had also taken a loan from ICICI Bank and defaulted on it.

During the probe, the ED conducted searches at more than 136 locations across India and seized valuables and jewellery worth Rs 597.75 crore belonging to the Gitanjali Group. Further, immovable and movable assets worth Rs 1,968.15 crore,comprising overseas and domestic properties, vehicles, bank accounts, factories, shares of listed companies, and jewellery, were attached.

In total, assets worth Rs 2,565.90 crore have been attached or seized in the case, and three prosecution complaints have been filed.

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