The Enforcement Directorate (ED) has provisionally attached 27 immovable properties worth ₹72.08 crore of the promoters, directors and guarantors of Gangotri Enterprises Limited in connection with a bank fraud case being probed by the Central Bureau of Investigation (CBI).
According to the ED, the assets attached under the Prevention of Money Laundering Act (PMLA) are registered in the name of Vinay Shankar Tiwari, a former MLA from Uttar Pradesh, his family members, and relatives. The properties are located in Uttar Pradesh’s Lucknow, Maharajganj and Gorakhpur.
The agency alleged that Gangotri Enterprises and the others used fraudulent means to get credit facilities to the tune of ₹1,129.44 crore from a consortium of seven banks lead by the Bank of India. The loans were not repaid and instead, diverted and misappropriated by them in violation of the banking norms, causing a wrongful loss of about ₹754.24 crore to the consortium.
In October 2020, the CBI had searched four locations in Noida and Lucknow with respect to the case registered against Mr. Tiwari, his wife Reeta, Gangotri Enterprises, Royal Empire Marketing Private Limited and one Ajeet Pandey.
