ED Raid On Mahesh Timber: ED’s big action in bank fraud case, raids at 11 locations including Delhi-Goa

ED Raid In Fraud And Money Laundering Case: In a major case related to banking fraud and money laundering, the Enforcement Directorate (ED) on Tuesday took massive action and raided 11 locations in Karnal, Delhi and Goa. This action was taken as part of the ongoing investigation against Mahesh Timber Private Limited and people associated with it. Chandigarh zonal unit of ED searched the premises of Ashok Mittal, Saurabh Dhingra, Bharat Bhushan Mittal, Raman Singhal and other persons associated with the company.

According to the investigating agency, this case is related to alleged manipulation in the banking system by illegally increasing the value of Foreign Letters of Credit (FLC) and causing loss of crores of rupees to the banks. It is alleged that due to this alleged fraud, Oriental Bank of Commerce and other consortium banks suffered a loss of about Rs 155.21 crore.

Fraud of Rs 195.02 crore

ED investigation revealed that Mahesh Timber Pvt Ltd, in connivance with associated companies and individuals in India and Singapore, fraudulently transferred funds amounting to approximately Rs 195.02 crore through manipulated FLCs without importing any genuine timber. Investigation conducted by customs officials proved that a large number of ‘Bills of Entry’ and ‘Bill of Lading’ They were fake and fabricated.

Big revelation in ED investigation

The ED investigation also revealed that shipping companies such as Amazon Exports Pvt Ltd, Mahesh Timber Singapore Pvt Ltd, Traffic Media India Pvt Ltd, BVM Shipping Pvt Ltd and Pearl Maritime Pvt Ltd were used to create the illusion of fake imports of timber from Singapore to India, so as to defraud OBC Bank to open and transfer inflated value of FLCs in Singapore against such fake imports.

Role of many names revealed in investigation

During the investigation, the role of Deepak Singla as well as Ashok Kumar Mittal and Raman Singhal has also come to light. Ashok Kumar Mittal and Raman Singhal held director/key managerial positions in Mahesh Timber Pvt Ltd and Mahesh Resources Pvt Ltd.

Also read- Yes Bank Scam: ED’s big action in money laundering case, raids at 17 locations including Mumbai and Delhi

Important documents and electronic equipment seized

During the ED searches, it was revealed that during the relevant period, Amazon Exports Pte Ltd (Singapore), Mahesh Timber Singapore Pte Ltd, Pearl Maritime, BVM Shipping and Traffic Media India Pte Ltd entered into fraudulent transactions involving purported purchase and sale of imported timber without actual import. Also, routing and layering of the proceeds of crime with the help of Saurabh Dhingra, Bharat Bhushan Mittal and others has also been detected.