The Enforcement Directorate on Thursday searched 11 premises in Kolkata as part of a money laundering investigation into an alleged Rs 290-crore bank loan fraud, officials said.
The searches, conducted under the Prevention of Money Laundering Act (PMLA), targeted premises linked to the promoters of Kohinoor Power, Prashant Bothra and Vijay Bothra, besides other directors and auditors of the group.
According to the ED, Kohinoor Power had availed loans from banks to set up a 66-MW power plant in Jharkhand.
The agency has alleged that the loan funds were subsequently “siphoned off” to other group entities and diverted for personal use.
The company later approached the National Company Law Tribunal (NCLT) for insolvency proceedings. However, only around Rs 7 crore could be recovered during liquidation, resulting in substantial losses to the creditors, officials said.
The searches are part of the agency’s probe into the alleged diversion and laundering of the loan proceeds.
(With inputs from PTI)
