SBI to get back Rs 79.20 cr in Musaddilal case
SBI files restitution applications based on ED's initiative
Hyderabad: The Directorate of Enforcement (ED) has facilitated the restitution of properties seized from Musaddilal Jewellers Private Limited worth ₹79.20 crore, to the State Bank of India, in an alleged case of loan default and money laundering case.
The Prevention of Money Launderging Act court in its orders dated January 6 and February 3 allowed the petitions filed by the ED and ordered release of the jewellery that was seized from Musaddilal Jewellers.
The ED alleged Musaddilal Jewellers and others had deposited more than `111 crore in demonetised currency immediately after the demonetisation of high value notes in 2016. ED investigations revealed that demonetised currency was deposited under the pretext of receipt of advance money from around 6,000 fake customers by creating fake invoices of less than `2 lakh each.
During its investigation, the ED revealed that the company deposited the amount in various bank accounts and utilised it to purchase gold bullion. Proceeds of crime of `28 crore were derived from such sales.
The investigation also revealed that the SBI had extended various credit facilities to Musaddilal Jewellers, which remained unpaid and the loan accounts turned NPA in July 2019. Musaddilal Jewellers had outstanding dues to SBI of over `120 crore as on March 14, 2023.
The ED earlier seized movable properties worth `83.3 crore during searches conducted on January 12, 2017, and April 15, 2019, from Musaddilal Jewellers.
The ED secured provisional attachment of movable and immovable properties of `130.57 crore from Musaddilal Jewellers, including movable properties worth `83.30 crore which was seized during search operations.
