New Delhi [India]: In a major development, the Enforcement Directorate (ED) has arrested Samajwadi Party leader and former MLA Vinay Shankar Tiwari along with Ajeet Pandey, a key figure at Gangotri Enterprises, in connection with a massive ₹754 crore bank fraud case.
The arrests were made on April 7 following search operations at 10 locations across Lucknow, Gorakhpur, Maharajganj, Noida, and Mumbai under provisions of the Prevention of Money Laundering Act (PMLA), 2002.
🔍 What the ED Found
- The searches were conducted at residential and office premises of Tiwari and other directors/contractors linked to Gangotri Enterprises Ltd (GEL).
- According to the ED, GEL committed a ₹754 crore bank fraud in collusion with directors, promoters, and guarantors.
- Funds were siphoned off through paper companies allegedly controlled by Tiwari, his family members, and associates.
- Two Provisional Attachment Orders (PAO) were issued:
- 🏢 Rs 72.08 crore (Nov 17, 2023)
- 🏠 Rs 30.86 crore (Mar 18, 2024)
🏛️ Court Proceedings
- The duo was produced before the Special PMLA Court in Lucknow.
- Initially sent to 14-day judicial custody, Tiwari and Pandey were later remanded to ED custody until April 11.
- Incriminating documents, evidence of benami property transfers, and interest-free loans were recovered during searches.
⚠️ Allegations and Findings
- Fake investments and diverted funds were routed through related concerns.
- High-value properties were transferred to shell/benami entities after the loan account turned NPA.
- Tiwari is a promoter of Gangotri Enterprises, a firm known for handling large government contracts.
Background
The case stems from an FIR filed by the CBI, which prompted ED’s money laundering probe. The investigation revealed a complex network of financial irregularities aimed at cheating a banking consortium out of hundreds of crores.