Enforcement Directorate Restores Rs 274 Crore in Assets Linked to Bank Fraud Case

The Enforcement Directorate (ED) has returned assets valued at Rs 274 crore in a money laundering case involving PSL Limited. This case originated from a 2020 CBI FIR based on a complaint by the Bank of Baroda, Mumbai. The complaint accused the company and its directors of criminal conspiracy, cheating, and misconduct.

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The directors of PSL Limited were found to have misused loan funds amounting to Rs 274.60 crore, which were identified as proceeds of crime. In September 2020, the National Company Law Tribunal (NCLT) began liquidation proceedings against PSL Limited and appointed a liquidator to manage the process.

Asset Attachment and Court Orders

During the investigation, the ED attached assets worth Rs 274.60 crore. In March 2023, the Delhi High Court instructed that these funds be placed in a fixed deposit with a nationalised bank under the name of the joint director of ED. This was part of the ongoing legal proceedings.

On February 27, the ED expressed no objection to releasing these fixed deposits, along with any accrued interest, to the liquidator. This decision was made to restore properties to legitimate claimants and victims of money laundering offences, aligning with the Prevention of Money Laundering Act (PMLA).

Restitution and Ongoing Efforts

The Delhi High Court subsequently ordered the restitution of these attached assets. This step is significant in ensuring that proceeds of crime are returned to those affected by such financial misconduct.

The ED remains committed to fighting financial crimes and delivering justice to victims. The agency's efforts continue to focus on returning illicit gains to rightful owners and maintaining integrity in financial dealings.