ED attaches Rs 110 crore worth assets in bank 'fraud' case against Lakhani group

Assets worth more than Rs 110 crore of Lakhani India shoe company have been attached under the anti-money laundering law in an alleged bank loan fraud case, the Enforcement Directorate said on Tuesday. The federal probe agency said in a statement that the investigation under the Prevention of Money Laundering Act (PMLA) against Lakhani India Limited and its group companies -- Lakhani Rubber Udyog Pvt Ltd, Lakhani Apparel Pvt Ltd along with their promoters P D Lakhani and Suman Lakhani -- stems from CBI FIRs lodged in 2021 and 2023 on charges of criminal conspiracy, cheating and fraud targeting various banks.

Lakhani India Limited and its group companies "jointly defrauded" the Indian Overseas Bank, Punjab National Bank and Allahabad Bank by "misappropriation" and "diversion" of funds to other group companies, resulting in a "fraud" of Rs 162 crore.

The companies or their promoters could not be contacted immediately for a response on the charges levelled against them by the Enforcement Directorate (ED).


"Out of the business/capital loans and credit facilities disbursed by the complainant banks, Lakhani group, on the directions of the promoters, made sales to related parties at a loss, repaid loans of sister concerns, made unusual interest payments to the directors, etc.," the ED said in the statement.

Five commercial plots measuring more than 20 acres, a two-acre farmhouse, and a commercial flat-cum-office in Delhi-NCR have been provisionally attached under the PMLA, it said.

These properties are worth more than Rs 110 crore, it added.