New Delhi, Sep 12, (UNI) The Enforcement Directorate (ED) today said it conducted search and survey operations at eleven residential and commercial premises linked to Hythro Power Corporation Ltd (HPCL), its group companies, and key individuals in Delhi-NCR, Bengaluru, and Chennai.
The actions are part of an ongoing investigation under the Prevention of Money Laundering Act (PMLA).
The case alleges that HPCL and its Directors, Amul Gabrani and Ajay Kumar Bishnoi, siphoned off public funds to related entities, causing substantial losses to several banks. The fraud, declared by the complainant banks, amounts to Rs. 346.08 crore and occurred between 2009 and 2015.
The ED initiated its PMLA investigation based on a First Information Report (FIR) registered by the Central Bureau of Investigation (CBI) under various sections of the Indian Penal Code and the Prevention of Corruption Act. The FIR charges the accused with criminal conspiracy, cheating, and criminal misconduct.
The ED’s investigation revealed that HPCL, through its promoters and directors, obtained credit facilities from a consortium of banks under a multiple banking arrangement. The loans included Rs. 168 crore from Punjab National Bank, Rs. 56 crore from union Bank of India, Rs. 78 crore from ICICI Bank, and Rs. 44 crore from Kotak Mahindra Bank.
Despite several restructurings, HPCL defaulted on the loans and was declared a Non-Performing Asset (NPA). The account was subsequently reported as fraudulent to the Reserve Bank of India (RBI). The alleged fraud has caused significant financial losses and eroded trust in corporate lending practices.
Following an order from the National Company Law Tribunal (NCLT), liquidation proceedings for HPCL were initiated and remain pending.
During the search and survey operations, various digital devices and incriminating documents were recovered and seized. These included asset valuation reports, details of company receivables, loan advance details, asset holdings, claims filed, audited financials, Tally data, legal records, and investor details related to HPCL and its group companies, GET Power Ltd. and Tecpro Systems Ltd.
The ED also froze several bank accounts belonging to the promoters and related persons, which held credit balances exceeding Rs. 55 lakh.
Further investigation into the matter is on.
