Enforcement Directorate Cracks Down on Massive Bank Loan Fraud

The Enforcement Directorate on Wednesday intensified its crackdown on a massive bank loan fraud by conducting searches across several locations in Delhi-NCR and Punjab. This operation forms part of an investigation into allegations of a Rs 988 crore scam involving Shilpi Cables Technologies Ltd, sources revealed.

Authorities targeted nine premises in Delhi-NCR and another in Jalandhar under the Prevention of Money Laundering Act. The ED suspects that the company, SCTL, misled a consortium of banks led by IDBI Bank, using fake transactions to siphon loan money abroad.

The company's managing director, Manish Goel, is currently under scrutiny. The ED's investigation builds on an earlier CBI FIR, which accused the company's promoters and associates of the significant financial deception.

(With inputs from agencies.)