New Delhi, November 22
Directorate of Enforcement (ED), Hyderabad has attached immovable properties worth Rs. 2.43 Crore (book value) belonging to Sarvade Vinod Kumar and M/s Jan Shakti Oil Products Pvt. Ltd. represented by M. Venkata Nagendra, under the provisions of the Prevention of Money Laundering Act (PMLA), 2002 in the case of M/s Blossoms Oils & Fats Limited. Attached immovable assets include residential as well as commercial properties.
ED initiated investigation on the basis of an FIR registered by CBI BS&FC, Bengaluru under various sections of IPC, 1860 against M/s Blossoms Oils & Fats Limited & others.
The officials informed that the Blossoms Oils & Fats Limited and others defrauded Indian Overseas Bank & Indian Bank, by availing loans on the basis of forged documents and upon receipt of loan funds, they diverted the same for other personal use through their associate group companies, and thereby caused corresponding unlawful wrongful losses to Indian Overseas Bank and Indian Bank to the extent of Rs 266.74 crores.
ED investigation revealed that M/s Blossoms Oils & Fats Limited, represented by its Promoters and Directors, T G Suryanarayana & others, fraudulently availed credit facilities from Indian Overseas Bank &
Indian Bank, by submitting fabricated & rosy financials, showing huge cash and cash equivalents in the
balance sheets of 2012 & 2013 by submitting inflated monthly stock statements and further availed 74
Letters of Credit (LC) from Indian Overseas Bank & 8 LCs from Indian Bank by submitting false, fabricated
and fraudulent documents in favour of associate / group companies from which no material was received
and without any genuine business transactions and utilized/diverted the loan proceeds and devolved LC
proceeds for round-tripping of funds through various companies in order to repay to existing loans availed
and also for payment of interest towards the devolved LCs.
