ED attached 62 Immovable Properties worth Rs.30.28 Crore in a Bank Fraud Case

The Directorate of Enforcement (ED) has provisionally attached 62 immovable properties worth approximately Rs.30.28 crore belonging to M/s Heera Construction Co. Pvt. Ltd., its MD Abdul Rasheed, his trust M/s Heera Educational and Charitable Trust, and sister company M/s Heera Summer Holiday Homes Pvt. Ltd. as proceeds of crime in a bank fraud case.

The ED launched an investigation into M/s Heera Construction Co. Pvt. Ltd., its MD Abdul Rasheed, and others based on a complaint filed by the State Bank of India, Kowdiar, Thiruvananthapuram branch. The FIR was registered by the CBI, ACB Cochin under various sections of the IPC, 1860, and PC Act.

The ED investigation found that M/s Heera Constructions Co. Pvt. Ltd., its MD Abdul Rasheed, and other accused individuals defrauded the State Bank of India, Kowdiar branch by illegally selling main and collateral securities mortgaged with the bank. They also failed to return the loan. The defendants obtained Rs.34.82 crore by committing offences.

ED investigation found that M/s Heera Constructions Co. Pvt. Ltd., its MD Abdul Rasheed, and other family members used proceeds from crime to invest in immovable properties in their personal and company names in Kerala, presenting them as untainted properties in violation of section 3 of PMLA, 2002.

Abdul Rasheed, MD of M/s Heera Construction Co. Pvt. Ltd., was detained on 4.12.2023 under PMLA for direct involvement in money laundering and generating criminal gains.

Abdul Rasheed, MD of M/s Heera Construction Company Pvt. Ltd., also committed money laundering by diverting cash earned from the sale of other projects mortgaged with the State Bank of India, rather than using them to repay loans taken out against them.

Abdul Rasheed’s bail application was denied by the Hon’ble Special Court for PMLA, Ernakulam. He was remanded to ED for 5 days for custodial interrogation in order to uncover further proceeds of crime and arrest other accused. Abdul Rasheed is currently in judicial prison until January 20th, 2024.

Further investigation is under progress.