ED conducts raids in Hyderabad over alleged ₹326-crore bank fraud

The Enforcement Directorate (ED) on Thursday conducted searches across seven premises in Hyderabad in connection with an alleged fraud involving multiple nationalized banks. The investigation centers on purported defrauding of a banking consortium led by Punjab National Bank, with losses estimated at ₹326.49 crore.

According to officials, the consortium includes Punjab National Bank, IDBI Bank, Union Bank of India, and Bank of Baroda. Andhra Bank, which merged with Union Bank of India, was also part of the affected lenders. The searches are aimed at gathering evidence and documents related to the alleged fraudulent transactions.

The ED typically initiates such operations following complaints from financial institutions or preliminary investigations that suggest possible violations of money laundering statutes. The federal agency coordinates with banking authorities to trace the flow of illicitly obtained funds and identify individuals involved in orchestrating the fraud.

Details regarding the specific nature of the alleged fraud and the entities being investigated remain under wraps as the probe progresses. Such large-scale banking frauds have become increasingly common in recent years, prompting financial institutions to strengthen their internal controls and reporting mechanisms.