ED Conducts Searches at 7 Locations in Rs 326.49 Crore Bank Fraud Case Linked to Kanakadhara Ventures:

In relation to an alleged bank fraud involving a company named Kanakadhara Ventures Private Limited (KVPL) and its directors, the Enforcement Directorate (ED), Hyderabad Zone, has carried out a search operation on a total of seven locations.

These searches were carried out on Friday under the Prevention of Money Laundering Act (PMLA), 2002, across the Hyderabad, Secunderabad, and Medchal-Malkajgiri districts of Telangana. The locations covered under the search operation included the company's registered office, the residences of its directors, and locations linked to entities and individuals allegedly involved in the diversion of funds.

The concerned officials initiated an investigation into the present fraud following the registration of an FIR on December 08, 2022, by the Central Bureau of Investigation (CBI)'s Bank Securities and Fraud Branch in Bengaluru, and the FIR was registered following a complaint furnished by Punjab National Bank (PNB).

The disputed company and director are alleged to have committed crimes covered under Sections 120-B, 420, 468 and 471 of the Indian Penal Code, 1860, and Section 13(2) read with Section 13(1) of the Prevention of Corruption Act.

The fraud has caused an aggregate loss amounting to Rs 326.49 crore. During the search operation, the officials had found incriminating documents, devices, and other records; all were immediately confiscated. In total, Rs 15 lakh were seized in cash.

The fraud involved a consortium of five banks, including Punjab National Bank (PNB), IDBI Bank, Union Bank of India, and Andhra Bank. Among whom PNB had filed the complaint. As of now, the ED has not made a disclosure regarding how many arrests have been made, but investigation in ongoing.