The Enforcement Directorate (ED), Gurugram Zonal Office, on Wednesday, provisionally attached movable and
immovable properties valued at Rs 557.49 crore under the provisions of Prevention of Money Laundering Act (PMLA), 2002, in the case M/s Amtek Auto Limited, M/s ARG Limited, M/s ACIL limited, M/s Metalyst Forging Limited and M/s Castex Technologies Limited, Amtek Group promoter Arvind Dham, and others, officials said.
The attachment follows the provisional attachment of Rs 5115.31 crore dated September 5, 2024, issued by the ED has been confirmed by the PMLA Adjudicating Authority, ED officials added.
The central probe agency had earlier conducted searches at more than 40 locations and subsequently arrested Arvind Dham and filed a prosecution complaint on September 6, 2024.
The ED initiated investigation based on Supreme Court’s order on February 27, 2024, while hearing the PIL against M/s Amtek Auto group of companies, which directed the central probe agency to investigate the case involving bank fraud by Amtek Auto Group to the tune of Rs 27,000 crore.
The apex court expressed concerns regarding the diversion of public money, emphasising the necessity of a comprehensive investigation by the ED, even if the banks concerned had settled the accounts.
It was also noted there were FIRs registered by CBI arising from the complaints by IDBI Bank and the Bank of Maharashtra under various sections of IPC, 1860, and the Prevention of Corruption Act, 1988, on allegations of illegally diverting bank loans by causing wrongful loss to the banks.
The assets attached include immovable properties, including land of 145 acres in Rajasthan and Punjab, other properties in Delhi/NCR totally valued at Rs 342 Crore, FD’s and bank balances worth Rs 112.5 crore, shares, mutual funds and investment in AIF, valued at Rs 123.9 crore.
All the Amtek assets are identified as direct Proceeds of Crime and are held through several companies beneficially owned by Arvind Dham and assets of Amtek companies held by bankers who sanctioned loans, ED officials said.
The assets attached also include investments of notorious stock market operators based in Mumbai involved in securities fraud through listed companies of Amtek group, third party assets which had proceeds of crime from Amtek group real estate verticals, assets of an Amtek company under fraudulent insolvency proceedings, and assets alienated before initiation of insolvency proceedings.
The ED probe revealed that the group companies namely M/s Amtek Auto Limited, M/s ARG Limited, M/s ACIL limited, M/s Metalyst Forging Limited and M/s Castex Technologies Limited along with other Group concerned were taken to insolvency, whose resolution had led to huge haircut of more than 80 per cent for the banks causing substantial losses to these public sector banks.
The ED investigations revealed that financial statements of group companies were deceitfully manipulated to obtain additional fraudulent loans and create bogus assets and investments in the books of accounts.
Further investigation is underway, ED officials said.
