ED questions producer Allu Aravind in ₹101.4cr bank fraud case
What's the story
Telugu producer Allu Aravind was questioned for over three hours by the Enforcement Directorate(ED) in Hyderabad. The questioning is part of a probe into a ₹101.4 crore bank fraud and money laundering case linked to Ramakrishna Electronics and Ramakrishna Teletronics (RTPL). The investigation was initiated following a complaint from Union Bank of India (formerly Andhra Bank), which accused the group of defrauding the bank by misusing sanctioned loans.
Investigation details
ED conducted searches in Hyderabad, Kurnool, and Ghaziabad
The ED's Hyderabad zonal office conducted searches in Hyderabad, Kurnool, and Ghaziabad as part of its investigation into the diversion and misappropriation of loan funds. The case is based on an FIR registered by the Central Bureau of Investigation (CBI) in Bengaluru against Ramakrishna Electronics, RTPL, and their directors/partners V Raghavendra, V Ravi Kumar, among others.
Seizures and recovery
What did ED seize during the searches?
During the searches, the ED seized documents related to properties suspected of having been bought with the proceeds of crime. The agency also froze around ₹1.45 crore in bank accounts of the accused and their companies. Additionally, they recovered digital devices and records of foreign payments. The group involved was engaged in trading and marketing mobile phones and allegedly misused an open cash credit (OCC) facility for their operations.
Investigation focus
Brothers key figures in the group: ED
According to the ED, brothers Raghavendra and Ravi Kumar were the key figures in the group. They allegedly orchestrated the misuse of funds in connivance with others. The investigation is still underway and further details are awaited.