Latest news with #CSPL
Mint
2 days ago
- Business
- Mint
ED conducts searches in Delhi, Uttar Pradesh, Haryana in alleged ₹190 crore bank loan fraud
The Enforcement Directorate (ED) on June 5 conducted searches at 10 locations in Delhi, Uttar Pradesh and Haryana in relation to an alleged ₹ 190 crore bank loan fraud, PTI reported citing official sources. Besides the national capital, the search locations in UP included Noida and Ghaziabad, and Panipat in Haryana, according to the report. The searches are part of a money laundering investigation linked to Shri Sidhdata Ispat Private Limited and others in which Bank of Baroda (former Dena Bank) is claimed to have been defrauded, the officials told PTI. The 10 locations 'are linked to the directors, promoters, partners, auditors, and other conspirators associated with the company which is being investigated in a ₹ 190 crore worth alleged bank loan fraud case', they added. The company under scrutiny, Shri Sidhdata Ispat manufacturers cold and hold rolled steel products. The report added that promoters could not be contacted immediately for a comment on the ED action against them. Earlier the ED on May 16 arrested former UCO Bank chairman Subodh Kumar Goel from his Delhi residence for alleged money laundering. This is in relation to an alleged bank loan fraud case of over ₹ 6,200 crore linked to a Kolkata-based company, according to another PTI report. Premises linked to Goel and some other were raided by the ED in April, as part of the investigation against Concast Steel & Power Ltd. (CSPL) and others in an alleged bank fraud case, the PTI report added. The charges comes from an FIR from the Central Bureau of Investigation (CBI) related to the sanction of credit facilities to CSPL and subsequent large-scale 'diversion' and 'siphoning' of loans amounting to ₹ 6,210.72 crore (principle amount without interest).
Indian Express
25-05-2025
- Business
- Indian Express
South Delhi house to travel: Bribes flowed via web of entities, finds ED
The Enforcement Directorate, which arrested former UCO Bank CMD Subodh Kumar Goel on May 16 in connection with a case of alleged corruption and money laundering, has told a PMLA special court in Kolkata that he created a complex web of nine companies with cross holdings to receive kickbacks. According to the ED, its probe found that Goel received bribes from an iron ore company, a loan defaulter, through these entities and used the funds to buy property. He also forced the loan defaulter to fund his family's travels and purchase of personal items such as goggles and dry fruits, the agency claimed. Goel is being probed in connection with an over Rs 6,000-crore loan default by Concast Steel and Power Ltd (CSPL), promoted by Sanjay Sureka, where UCO Bank alone had an exposure of Rs 1,400 crore. Goel's lawyer Gautam Khazanchi did not respond to specific allegations made by ED saying the matter was sub judice. He said he was approaching the High Court to secure bail for Goel. 'He is severely unwell. He suffers from a neuro degenerative disorder. He is 75 years old and wheelchair-bound. That is why we had to move for bail on medical grounds. But the (lower) court has not agreed to this. His ED custody is getting over on Monday. Then we will move HC,' Khazanchi said. The ED has told the special court that Goel, while serving as the UCO Bank CMD, played a 'central and influential role in the sanctioning of credit facilities to CSPL, despite the company's dubious financial health and its promoter's involvement in manipulation of financial statements'. According to the ED's submission in court, its probe has revealed the existence of a 'tightly interwoven network of private limited companies' – namely R H Design India Pvt Ltd, Zhen Agencies Pvt Ltd, Falcon Vincom Pvt Ltd, FV Estates Pvt Ltd, Prime Buildtech Pvt Ltd, Hari Ram & Sons Pvt Ltd, Satya Ornapack Pvt Ltd, Hari Om Consultants Pvt Ltd and Chakresh Commosales Pvt Ltd – which are 'either directly or indirectly linked to Shri Subodh Kumar Goel'. The directors in all these companies are variously the wife, son, daughter, son-in-law or nephew of Goel, the ED has claimed. All these companies are also intricately cross-held by three core entities: Falcon Vincom Pvt Ltd, FV Estates Pvt Ltd and Chakresh Commosales Pvt Ltd. These three entities, in turn, are majority held by Hanuman Bhakt Family Welfare Trust, which holds 51% in Falcon Vincom, 50.5% in FV Estates, and 52% in Chakresh Commosales. The Trust itself is privately governed and controlled by family members of Goel, the ED has claimed. Another company, identified as I-Win Advisory Services Ltd, directly links CSPL's Sureka and Goel. According to ED, I-Win was owned and controlled by Sureka but was used as a conduit to transfer undue benefits to Goel's family. In FY 2019–20, the shareholding of this company was transferred to Goel's daughter and son-in-law with each acquiring 29.98% of the total shares of the company. During its searches, the ED recovered a ledger from Goel's residence. This ledger was prepared by an employee of Sureka. In this ledger, a corresponding set-off entry of Rs 5 crore is recorded around the same time in the name of 'IWIN'. This, the ED has claimed, shows that the shareholding transferred to Goel's daughter and son was not a genuine business investment but rather a proxy transaction to settle a portion of kickbacks owed to Goel by Sureka for undue favours extended in the sanctioning of loans to CSPL. 'Funds received as bribes or commissions were routed through these entities, invested into properties or fixed assets, and later shown as legitimate income via rentals or returns – thereby completing the placement, layering, and integration stages of money laundering,' an ED official said. According to ED, Goel, in his statement to the agency, stated he had indeed received certain petty cash benefits and personal items such as goggles at the behest of Sanjay Sureka. 'Payments were also made in the form of luxury expenses, including hotel stays, air tickets, iPhones and dry fruits, thereby further evidencing the illicit nature of benefits received,' the ED has told the court. However, a majority of the funds routed through Goel's companies were used to buy properties in Delhi NCR such as office space at Jasola, flats in Commonwealth Games Village, a property at Jaypee Knight Court, his own house at Panchsheel Park, a property in Sector 44, Noida, two commercial properties in Greater Noida, a warehouse in Ghaziabad, a plot in Jaipur and a land parcel at Palwal, Haryana. The ED has also elaborated how Goel's multi-crore property at Panchsheel Park was also received through a circuitous route as probable bribe. According to ED, Goel's Panchsheel Park property is registered in the name of M/s Dhanapati Retailers Pvt Ltd. The company acquired the property in FY 2013-14 for a book value of Rs 13.53 crore. Incidentally, Sureka's sister Rachna Poddar is one of the directors of the company while Sureka and his wife had 50% shares each in the company until FY 2017-18. Then in FY 2018-19, the company transferred all its shares to Goel's family. Apart from this, Goel further received alleged kickbacks in the form of unsecured loans from Sureka and the CSPL in companies associated with his family members. For instance, Jagdish Properties, where Goel's son and daughter-in-law are shareholders, received unsecured loans totalling over Rs 2 crore from companies beneficially owned by Sanjay Sureka. Similarly, Hari Om Consultants received Rs 2.65 crore in FY 2015-16 from Concast Engineering Pvt Ltd, another company of Sureka, which ballooned to over Rs 3.35 crore by FY 2019-20. An ED official said until now the agency has calculated purely the book value of assets created by Goel to be around Rs 75 crore. 'Their market value is estimated to be close to Rs 200 crore because the accused have undervalued properties in documents. It is suspected that Sureka had also become an agent for Goel and was laundering kickbacks from other businessmen as well for him,' the official said.
Time of India
23-05-2025
- Business
- Time of India
Bank ex-CMD Subodh Kumar Goel bought property via bribe money: ED
NEW DELHI: ED has identified properties worth Rs 75 crore associated with jailed former CMD of UCO Bank Subodh Kumar Goel which were allegedly acquired through bribes received for sanctioning loans worth thousands of crores to Concast Steel & Power Ltd (CSPL), which later defaulted on repayments. Sources said Goel, who was arrested by ED from his New Delhi residence on May 16, had acquired properties in Delhi-NCR, which included a bungalow in upscale Panchsheel Park in Delhi, a villa in Jaypee Greens in Noida, several flats and plots in Noida and Greater Noida, besides warehouses and commercial properties. All the assets in question were purchased using shell companies, many of which were controlled by his son, daughter-in-law and wife. CSPL and its promoter Sanjay Sureka have defaulted on loans of over Rs 6,200 crore, taken from a consortium of 27 banks. The loss to UCO Bank alone has been estimated at over Rs 1,400 crore, sources said. Goel's residence in Panchsheel Park was owned by a shell entity in which Sureka and his wife Sapna held 50% share each. "Shareholding of this company was later transferred to Goel's wife, son and daughter-in-law," a senior official aware of the investigation said. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 40대 이상이고 PC가 있으세요? 그럼 이 게임을 정말 좋아하실 거예요! Sea of Conquest 플레이하기 Undo Similarly, the B-79 house in Noida's posh Sector 44 was acquired in the name of another shell company, the shareholding of which was later transferred to Goel's nominees, source said. Among his other properties are a villa in Jaypee Greens in Noida, again acquired in the name of a shell company, besides two commercial properties in Greater Noida and a flat in NRI City in Omaxe Connaught Plaza, Greater Noida. "The investigation has so far identified over Rs 75 crore worth of immovable properties linked to S K Goel," a source said. ED's case under PMLA, being investigated by the Kolkata zonal unit, is based on an FIR registered by CBI which alleged that CSPL siphoned off Rs 6,211 crore availed as loans from a consortium of 27 banks and other financial institutions. The agency has accused Goel, while serving as CMD of UCO Bank, of having played a key role in sanctioning loans to CSPL, which were later siphoned off and laundered. The loans turned into NPAs, causing a loss of more than Rs 1,462 crore to UCO Bank, besides others, sources said. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
India.com
22-05-2025
- Business
- India.com
Another bank scam of Rs 62100000000! who is Subodh Kumar Goyal, mastermind behind scam which cause heavy loss to….
Bank frauds in India were done earlier also. From Punjab National Bank (PNB) to Yes Bank these frauds affected the Indian banking sector earlier also. In a similar chain recent fraud case the government-owned UCO Bank is added. The Enforcement Directorate (ED) has arrested the bank's former Chairman and Managing Director, Subodh Kumar Goel, in connection with a financial fraud of Rs 6,210.72 crore. Subodh Kumar Goel was the Chairman and Managing Director of UCO Bank. He was arrested from his residence in Delhi on May 16, 2025, under the Prevention of Money Laundering Act (PMLA). He was produced before the special Prevention of Money Laundering Act (PMLA) court in Kolkata on May 17 which sent him to ED custody till May 21, the federal probe agency said in a statement. The ED had raided the premises of Goel and some others in April as part of this investigation. The money laundering case stems from a CBI FIR related to the sanction of credit facilities to CSPL and subsequent large-scale 'diversion' and 'siphoning' of loans amounting to Rs 6,210.72 crore (principle amount without interest). Goel did post graduation in commerce from Delhi School of Economics. He did LLB from University of Rajasthan and also a Certified Associate member of Indian Institute of Bankers. He started his career from the Bank of Baroda in 1974, as an officer. He also worked in Andhra Bank in 1980 in Middle Management grade. He was a General Manager and worked in operational and administrative roles in Human Resource Development, Computer Policy, Credit and International Banking. How He Committed Fraud? The ED claimed that during the tenure of Goel as the CMD of UCO Bank, large credit facilities were 'sanctioned' to CSPL which were subsequently 'diverted' and 'siphoned off' by the borrower group. In turn, it alleged, Goel received 'substantial illegal gratification' from CSPL. 'The illegal gratification was layered and channelled through various entities to give a facade of legitimacy. 'Investigation revealed that Goel received cash, immovable properties, luxury goods, hotel booking etc routed through a web of shell companies, dummy persons and through family members to conceal the criminal origin of the money,' the ED said. These shell entities are 'beneficially owned or controlled' by Goel and his family members, it claimed. 'The source of funds of these entities is linked to CSPL. Evidence gathered so far also shows use of accommodation entries and structured layering through front companies for systematic settlement of kickbacks,' the ED said. Sanjay Sureka, the main promoter of CSPL, was arrested by the ED in December, 2024 and a chargesheet was filed before the Kolkata court in February this year. The agency had attached assets worth Rs 510 crore of Sureka and CSPL as part of two orders issued under the PMLA. (With Inputs From PTI)
Indian Express
21-05-2025
- Health
- Indian Express
Fraud-accused former UCO Bank Chairman moves bail citing ill health
On Wednesday, former Chairman and Managing Director of UCO Bank, Subodh Kumar Goel, was produced before Chief Judge Sukumar Ray at the City Sessions Court. Goel's counsel moved for bail, citing the 74-year-old's deteriorating health, including Parkinson's disease and a rare hereditary condition. 'My client is not only sick but also infirm,' his counsel stated. 'He has been suffering from SCA-12 (a rare neurodegenerative disorder characterised by progressive hand tremors, mild to moderate gait ataxia, and other neurological and neuropsychiatric symptoms) since 2018. The disease is progressive in nature.' Describing Goel's current state, the counsel added, 'A scan has been done. He is dependent on assistance for daily living. An MRI of the brain shows decreased brain volume and impaired blood flow. He is wheelchair-bound, reliant on family members, has a history of falls, has Parkinson's, diabetes, and is disoriented to time and place.' The counsel further argued that during the five days of Enforcement Directorate (ED) custody at a hospital, Goel developed oral fungal infections and his condition has worsened. 'Due to his declining health, bail should be granted under any circumstances,' he stated. 'I have responded to the summons and fully cooperated. My statement has been recorded. I submitted 25 documents on May 7. On May 12, I informed authorities that I was undergoing treatment and needed time to recover. What changed suddenly? My family has fully cooperated. I need medical treatment and can remain in Kolkata,' the counsel stated on Goel's behalf. However, the ED opposed the bail plea. 'I arrested him on May 16 and took him to a government hospital in Delhi,' said the ED representative. 'Reports from AIIMS and RML hospitals state that he is slow but able to walk, follows verbal commands, and can continue oral and anti-Parkinson medication.' Refuting claims of medical neglect, the ED submitted, 'On May 17, the Salt Lake Subdivisional Hospital reported the patient was clinically stable. On May 18, after custody, no abnormalities were detected, including in his heart, though a cardiology consultation was advised. On May 19, the doctor noted that while the patient claimed to have Parkinson's, he was unable to provide proper medical history. Over the last four days, he managed basic tasks—eating, using the washroom, changing clothes—by himself. Only from May 19 did he claim he couldn't walk and needed a wheelchair. Since he allegedly suffers from an incurable condition, further hospital treatment is not necessary, and the ground of infirmity does not arise.' Goel was arrested from his Delhi residence on May 16 in connection with a massive Rs 6,210 crore bank loan fraud case. The investigation is being conducted under the Prevention of Money Laundering Act (PMLA) and involves M/s Concast Steel & Power Limited (CSPL) and others. Meanwhile, Sanjay Sureka, the main promoter of CSPL, who was arrested by the ED in December 2024, also moved for bail on Wednesday. A chargesheet against him was filed before the Kolkata court in February this year. The ED had attached assets worth Rs 510 crore belonging to Sureka and CSPL through two orders issued under the PMLA. Sureka's counsel argued that after 156 days in custody and with no imminent commencement of trial, bail should be granted. The court has adjourned his bail plea till June 2
