Indore | In a significant action against an alleged banking fraud, the Directorate of Enforcement (ED) has provisionally attached immovable properties worth ₹7.76 crore under the Prevention of Money Laundering Act (PMLA), 2002. The action was taken on April 24, 2026, and involves land parcels that were earlier registered in the name of Ruchi Acroni Industries Limited (now Steeltech Resources Limited).
The case pertains to an alleged bank fraud in which the company is accused of causing a loss of over ₹58 crore to a UCO Bank branch in Indore. The investigation was initiated on the basis of an FIR that invoked provisions of the Prevention of Corruption Act, 1988, and the Indian Penal Code, 1860, citing serious financial irregularities.
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According to the probe findings, the company allegedly used forged, fabricated, and manipulated documents to secure credit facilities and Letters of Credit (LCs) from the bank. Investigators believe that these documents enabled the firm to access funds without any genuine underlying business transactions. The funds were then allegedly routed through a network of entities and eventually brought back to the main company.
The ED’s investigation indicates that the company created a web of financial transactions by showing investments in its group and associated firms, while actually diverting funds in the form of loans and advances. This structured movement of money, often referred to as “layering,” was allegedly used to conceal the origin of illicit funds and make them appear legitimate.
Officials have further stated that a substantial portion of the diverted funds was later used for acquiring immovable assets. The latest attachment of ₹7.76 crore worth of land is part of this larger effort to identify and secure proceeds of crime linked to money laundering activities.
Notably, this is not the first such action in the case. Earlier, the ED had attached properties worth ₹10.15 crore in connection with the same investigation. The continuous action suggests that authorities are attempting to uncover the full scale of the alleged fraud and trace the entire financial trail.
Sources indicate that given the complex structure of transactions and fund movements, the probe is being carried out at a Comprehensive level. Multiple companies and their financial dealings are under scrutiny to determine the ultimate beneficiaries of the funds and identify all individuals involved in the alleged scheme.
Such cases highlight growing concerns within the banking sector, where companies allegedly exploit procedural loopholes and submit forged documentation to obtain large loans. These funds are then diverted through layered transactions, making detection and recovery more challenging.
The ED has clarified that the investigation remains ongoing, and further identification and attachment of assets cannot be ruled out. The latest action is being seen as a strong signal against financial fraud, reinforcing the intent to take stringent action against those involved in large-scale banking irregularities.
