Enforcement Directorate financial fraud investigations in IN

The Enforcement Directorate (ED) has initiated several investigations into diverse financial irregularities across India. Initial actions included freezing ₹200 crore in trading accounts linked to R M Drip and Sprinklers Systems Ltd. and R&B Denims Ltd. following allegations of a stock market ‘pump and dump’ scheme involving WhatsApp-driven price inflation.

In a money laundering investigation involving fraudulent housing loans obtained by Non-Resident Indians (NRIs) through suspected forged documents, the ED conducted searches at 13 locations across Delhi-NCR, Bengaluru, and Chandigarh. These operations, involving joint teams of police and security forces, targeted entities including Antriksh Promoters and Developers Pvt Ltd and Sunshine Infrawell Pvt Ltd.

Operations also expanded to Telangana and Andhra Pradesh. In Hyderabad, Secunderabad, and Medchal-Malkajgiri, the ED raided seven premises related to a ₹326.49 crore bank fraud case involving Kanakadhara Ventures Pvt Ltd. This investigation follows a 2022 CBI FIR regarding an alleged fraud against a consortium of banks led by Punjab National Bank. Investigators allege the company misused bank guarantee and letter of credit facilities, diverting funds through related entities using fabricated steel purchase invoices and transport documents. During these searches, officials seized digital devices, incriminating documents, and ₹15 lakh in unaccounted cash.

Additionally, the agency has investigated an alleged online betting and fraudulent investment app scam in Hyderabad and Vijayawada that reportedly utilized shell companies, cryptocurrency, and hawala networks to move funds overseas.