THE JHARKHAND STORY DESK
Lucknow, Feb 23: As part of an alleged Rs 750 crore bank loan fraud linked money laundering investigation against a road construction and toll plazas operating company promoted by SP leader Vinay Shankar Tiwari, the Enforcement Directorate raided locations in Uttar Pradesh, Gujarat, and Haryana on Friday, according to official sources.
Vinay Shankar Tiwari, the son of the late influential minister Hari Shankar Tiwari from Gorakhpur, succeeded his father in representing the Chillupar assembly constituency in Gorakhpur after winning on a BSP ticket. Subsequently, he switched allegiance to the Samajwadi Party (SP).
Raids at 10 locations
The sources stated that the search is being conducted in accordance with the terms of the Prevention of Money Laundering Act (PMLA) against Gangotri Enterprises and its principal promoters.
Vinay Shankar Tiwari, Rita Tiwari and Ajeet Pandey are the company’s primary promoters.
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According to the sources, these accused are alleged of engaging in a bank loan scam totalling approximately Rs 750 crore against a group of banks headed by the Bank of India (BoI) between 2012 and 2016.
The officials of the Enforcement Department (ED) are searching about 10 locations in Lucknow, Gorakhpur and Noida in Uttar Pradesh, Ahmedabad in Gujarat, and Gurugram in Haryana.
Gangotri Enterprises fraudulently obtained credit facilities from banks
Gangotri Enterprises is a firm engaged in road construction, managing toll plazas, and executing various government contracts.
In November 2023, the agency had attached assets belonging to the company that were valued at approximately Rs 72 crore. A CBI FIR is the basis for the money laundering case.
The Enforcement Directorate (ED) claimed in a statement that Gangotri Enterprises Ltd., along with its promoters, directors, and guarantors, allegedly obtained credit facilities totalling Rs 1,129.44 crore from a consortium of seven banks led by the Bank of India through fraudulent means.
The Enforcement Directorate stated that Gangotri Enterprises Ltd. and its promoters, directors and guarantors did not repay the aforementioned credit facilities. Instead, they allegedly diverted and misappropriated the funds, which resulted in a wrongful loss of Rs 754.24 crore to the consortium of banks, in violation of banking regulations.
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