4 months ago
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The Directorate of Enforcement, Hyderabad, has completed the restitution of attached properties valued astatine astir ₹63.05 crore to nationalist assemblage banks successful transportation with a wealth laundering lawsuit involving M/s GS Oils Limited.
According to the ED, properties worthy ₹62.30 crore were restored to the State Bank of India, portion assets valued astatine ₹75 lakh were restituted to UCO Bank nether the provisions of the Prevention of Money Laundering (PMLA) Act. The properties had been attached during the people of the ED’s probe into the case.
The ED initiated its probe against M/s G S Oils Limited and others successful 2016, based connected FIRs registered by the CBI’s Banking Securities and Fraud Cell successful Bengaluru and the CBI’s Anti-Corruption Branch successful Nagpur. The cases stemmed from complaints filed by SBI and UCO Bank, which alleged that loans sanctioned to the institution had turned non-performing assets owed to non-repayment, causing a wrongful nonaccomplishment of ₹274 crore to SBI and ₹32.33 crore to UCO Bank.
Investigations revealed that the institution had availed aggregate recognition facilities from the 2 banks, each of which subsequently became NPAs owed to fraudulent practices by the accused. The ED recovered that indebtedness amounts were round-tripped and parked successful subordinate companies earlier being withdrawn successful currency oregon utilized to acquisition onshore successful the names of those entities. These properties were past mortgaged again to unafraid further loans. The probe besides uncovered diversion of ample sums of slope funds done fraudulently issued letters of recognition to related ammunition firms for bogus proviso of material, with the proceeds yet being channelled backmost to the promoters.
Following the investigation, SBI and UCO Bank were advised to record restitution applications nether Section 8(8) of the PMLA earlier the Special PMLA Court astatine Nampally successful Hyderabad. The ED conveyed its concurrence for the restitution of the attached immovable properties to alteration their restoration to the unfortunate banks.
The Special PMLA Court, done orders dated March 24, 2025, and December 17, 2025, allowed the restitution petitions filed by SBI and UCO Bank, paving the mode for the instrumentality of the assets. The properties see cultivation and concern lands located successful Adilabad, Asifabad and Mancherial districts of Telangana, arsenic good arsenic onshore successful Wani successful Maharashtra.
The ED said that the restitution marked a measurement successful its efforts to guarantee that proceeds of transgression are returned to rightful claimants and that victims of fiscal fraud are compensated.
