Fraudulent Loans and Money Laundering: Assets Seized in JKGB Scam

The Enforcement Directorate (ED) has seized assets amounting to Rs 3.40 crore belonging to a former Jammu and Kashmir Grameen Bank manager and his associates in a fraud case. The case involves the misappropriation of Rs 6.30 crore through fictitious loans, leading to money laundering charges.

The Enforcement Directorate (ED) announced on Thursday that it has attached assets valued at Rs 3.40 crore belonging to a former Jammu and Kashmir Grameen Bank (JKGB) branch manager and his family. The action is part of an investigation related to massive fraud perpetrated against the bank.

The agency released a statement confirming that a provisional order was issued under the Prevention of Money Laundering Act (PMLA). This order freezes the properties of former bank official Ishtiyaq Ahmad Parray, along with Tariq Ali Parray, Haseena Bano, and Maqsood Ali Parray. Their holdings include properties in Srinagar and a flat in Delhi's Zakir Nagar area.

The money laundering investigation is linked to a broader CBI charge sheet implicating Ishtiyaq and ten others in the embezzlement of Rs 6.30 crore. The funds were obtained through fraudulent loan approvals during Ishtiyaq's tenure as a branch manager between 2014 and 2019. These loans are now recognized as non-performing assets.

(With inputs from agencies.)