Bank 'fraud': ED attaches over Rs 440 crore assets of ex-promoters of Kwality
New Delhi, Jan 16 (PTI): The Enforcement Directorate Thursday said it has attached assets worth more than Rs 440 crore in Delhi, Haryana and Punjab as part of an alleged bank loan fraud linked money laundering case against former promoters of dairy major Kwality Ltd.
An order was issued under the Prevention of Money Laundering Act (PMLA) for the provisional attachment of a 12,000 square yards farmhouse located at DLF Chhatarpur, residential properties at Vasant Vihar and Punjabi Bagh in Delhi and some residential plots at Karnal (Haryana) and Mohali (Punjab), the federal agency said.
The total value of these properties is Rs 442.85 crore.
These properties were "owned" by former promoters Siddhant Gupta and Sanjay Dhingra of Kwality Limited through "dummy" companies. The driver and security guard of the said promoters were the directors in such companies, the ED said.
The agency had raided 15 locations in Delhi-NCR in November 2024 as part of the action against former promoters and directors of the company -- Sanjay Dhingra and Siddhant Gupta -- apart from some "shell" (paper) companies related to them.
Kwality has been liquidated and is now with new owners.
The ED case stems from a September, 2020 CBI FIR filed against the said promoters and Kwality, which was engaged in processing and trading of milk, ice cream and other dairy products, for alleged loan fraud of Rs 1,400 crore against a consortium of banks.
The then promoters and directors, the agency said in a statement, "fudged" the books of accounts to show higher sales and debtors.
"Huge amounts of trading (sales/ purchase) were made without actual physical deliveries or receipt of the goods at factory premises. It was also noticed that sham companies/firms operated through implanted/dummy owners were used to divert the bank funds," the ED alleged.
The funds "diverted" through the said modus operandi were circulated and layered so as to conceal their origin and routed to different accounts as per the instructions of the promoters for purposes not intended by the banks, it said.
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Karnataka Muslim Convention to be held in Bengaluru on May 16
Muslim organisations to release report on Congress govt’s three-year performance
Bengaluru: Major Muslim organisations and federations in Karnataka have decided to organise a large public convention titled ‘Karnataka Muslim Convention’ at Town Hall in Bengaluru on May 16. During the convention, a comprehensive report reviewing the three-year performance of the Congress government under the theme “What did the Congress government promise? What did it do? What next?” will be released.
According to a statement issued on Friday, no politicians will be invited to the convention. The report will be submitted to the government and all MLAs after the event.
The convention is being held at a time when the Congress government is nearing the completion of three years in office on May 20. Muslim organisations have expressed dissatisfaction, alleging that despite extending strong support to the Congress in bringing it to power, the community is being neglected.
The Convention is being organised at time when there are concerns over inadequate political representation for Muslims, alleged neglect of community demands, and the suspension of senior Muslim leaders who had worked for the party for decades.
The organisers said the convention aims to raise questions on what the Congress government has delivered so far and what further steps are expected from the government.
The decision to hold the convention was taken during a meeting held on May 6 at A J International Hotel in Shivajinagar, Bengaluru. Representatives of major Muslim organisations, associations, ulema bodies, federations, and members of the ad hoc committee of Karnataka Rajya Muslim Okkoota attended the meeting.
More than 75 representatives and delegates, including senior ulemas, jamaat leaders, lawyers, retired officials, journalists and members of the KRMO ad hoc committee, participated in the discussions.
Members of the KRMO ad hoc committee’s report preparation team and experts from different sectors presented a detailed report on the Congress government’s three-year performance. The report examined promises made to Muslims on ten major issues, the extent to which they were fulfilled, pending promises, alleged discrimination in representation, and the demands now being placed before the government.
The report covered issues such as the hijab ban, reservation cancellation, hate speech and hate crimes, budget allocation, political representation, waqf matters, the anti-cow slaughter law, anti-conversion law, scholarships and educational grants.
Participants offered suggestions and recommendations on various points, and necessary corrections to the report were accepted after detailed discussions.
The meeting also reportedly expressed strong dissatisfaction over the manner in which the Congress government has treated the Muslim community. Participants are said to have opined that if the government and the Congress party continue in the same manner, the community should keep its political options open.
It was later decided that the report would be officially released at the large public convention on May 16 under the title “Karnataka Muslim Convention – What did the Congress government promise? What did it do? What next?”
The organisers appealed to people from all districts of the state to participate in large numbers and send a strong message to the government and the Congress party through the convention.
They also decided that all organisations, jamaats and associations should work towards ensuring participation from every district in Karnataka.
The statement reiterated that no politicians would be invited to the May 16 convention and that the report on the Congress government’s three-year performance would be submitted to the Chief Minister, Deputy Chief Minister, ministers and MLAs after the event.
