NEW DELHI: The Enforcement Directorate (ED) has attached assets worth over Rs 9,000 crore of Sandesara brothers, the absconding promoters of Gujarat-based pharmaceutical firm Sterling Biotech, who are involved in alleged money laundering and multi-crore bank fraud case.
Officials of the central probe agency said a provisional order of attachment was issued under the Prevention of Money Laundering Act (PMLA). Rough estimates peg the value of the attached properties of Sandesaras, including some of their overseas assets, at Rs 9,778 crore.
Sterling Biotech Ltd reportedly availed loans worth over Rs 5,000 crore from a consortium of banks led by Andhra Bank, which eventually turned into non-performing assets (NPAs). The total volume of the alleged loan fraud is said to be worth Rs 8,100 crore.
The Central Bureau of Investigation had registered a First Information Report in 2017 for bank loan fraud against Sterling Biotech, its group companies, directors and others. Sterling Biotech is promoted by Nitin Sandesara and Chetan Sandesara, who have reportedly fled the country to escape case proceedings. The Enforcement Directorate also registered a case against them over the alleged money laundering.
According to ED, Hitesh Patel, brother of Nitin and Chetan Sandesara, was instrumental in getting dummy directors for shell companies used by the Sandesaras to route, divert and launder the money. A non-bailable warrant has been issued against Patel.