Business · India Bureau
ED freezes ₹51 crore in DHFL loan fraud probe
The Enforcement Directorate has frozen ₹51 crore in connection with an alleged loan fraud involving Dewan Housing Finance Limited. The action follows a money laundering investigation triggered by a CBI case based on complaints from a consortium of 17 banks.
LSN India ·
The Enforcement Directorate (ED) has frozen ₹51 crore as part of its investigation into an alleged fraud involving DHFL, sources confirmed. The asset freeze marks a significant development in the ongoing probe into suspected financial irregularities at the housing finance company.
The ED's investigation is being conducted under the Prevention of Money Laundering Act (PMLA). The action stems from an FIR registered by the Central Bureau of Investigation following a formal complaint lodged by the Union Bank of India on behalf of a 17-bank consortium that had extended credit facilities to DHFL.
The multi-bank consortium's complaint had detailed alleged financial misconduct, prompting the CBI to initiate criminal proceedings. The subsequent ED investigation has focused on tracing and freezing proceeds allegedly obtained through unlawful activities connected to the case.
Dewan Housing Finance Limited has faced significant scrutiny in recent years following various financial disclosures and regulatory actions. The current ED action represents escalated enforcement action against entities and individuals suspected of involvement in the alleged financial irregularities at the company.