Syndicate Bank branch fraud: Assets worth Rs. 5 crore attached
What's the story
The Enforcement Directorate (ED) on Wednesday said it has attached assets worth about Rs. 5 crore in connection with a money-laundering probe linked to alleged fraud in a Syndicate Bank branch in Bengaluru. The central probe agency said its investigation in the case was initiated on the basis of an FIR filed by the Bengaluru police some time back.
Probe
ED claimed that Akkash is mastermind of the entire conspiracy
The FIR was filed against Vijay Akkash, Mohamed Musthafa, MD Jairam (the then Assistant Branch Manager of Syndicate Bank, Uttarahalli branch in Bengaluru), and others. The ED claimed in a statement that Akkash is the "mastermind" of the entire conspiracy along with Jairam, Nagaraju, Revenna, Siddagangaiah, and others.
Statement
Akkash opened a fake account in the name of KSAMB
It said Akkash "opened a fake current account in the Syndicate Bank branch in the name of Karnataka State Agricultural Marketing Board (KSAMB)." The fake account was operated by Musthafa who was impersonating the account officer of KSAMB, based on the fake and fabricated documents such as board resolution, ID card, letterhead of KSAMB, etc, the statement said.
Information
Musthafa transferred Rs. 47,16,62,500 into various bank accounts
The agency claimed they succeeded in transferring Rs. 50 crore to a fake current account and Musthafa with the help of bank officer Jairam and others transferred Rs. 47,16,62,500 into various bank accounts belonging to entities and persons who acted as accomplices to the conspiracy.
Allegation
The bank accounts were used to withdraw money: ED
"The bank accounts of each of those entities or persons were used to withdraw money in the form of cash and to buy jewelry, land by accused and their accomplices," the ED alleged. Properties worth a total of Rs. 4.98 crore in the form of bank balance, jewelry, etc. have been provisionally attached under the provisions of the Prevention of Money Laundering Act.