Bank Fraud Case: ED Attaches Assets Worth Over Rs 72 Cr of Former UP MLA, His Family Members

The Enforcement Directorate on Friday stated it has connected property value greater than Rs 72 crore of former Uttar Pradesh MLA Vinay Shankar Tiwari and his members of the family as half of a cash laundering probe in opposition to them linked to an alleged Rs 750-crore financial institution mortgage fraud.

Twenty-seven immovable properties positioned in Lucknow, Maharajganj and Gorakhpur districts of Uttar Pradesh have been provisionally connected underneath the provisions of the Prevention of Money Laundering Act (PMLA), the federal company stated.

Vinay Tiwari is the son of the late former minister and strongman from Gorakhpur Hari Shankar Tiwari, and he had represented (*72*) within the Uttar Pradesh meeting after being elected on a BSP ticket.

Vinay Tiwari had later joined the Samajwadi Party. The connected properties are registered within the identify of Vinay Tiwari, a former MLA, and his members of the family and family, who’re administrators, promoters and guarantors within the accused firm, Gangotri Enterprises Ltd, the Enforcement Directorate (ED) stated in an announcement.

The complete worth of the provisionally seized property is Rs 72.08 crore, it stated. The ED case stems from an FIR of the Central Bureau of Investigation (CBI).

Gangotri Enterprises Ltd, the ED alleged, “in collusion” with its promoters, administrators and guarantors “fraudulently” availed credit score services to the tune of Rs 1,129.44 crore from consortium of seven banks led by the Bank of India.

The stated credit score services weren’t re-paid and “grossly diverted and misappropriated” by Gangotri Enterprises Ltd and its promoters, administrators and guarantors in violation of banking norms inflicting wrongful loss to the tune of Rs 754.24 crore to the consortium of banks, the ED stated.

(This story has not been edited by News18 employees and is revealed from a syndicated information company feed – PTI)