Economic Fraud
ED Cracks Down on Rs 146 Cr Vehicle Loan Scam; Raids Sweep Assam, Mizoram
The Directorate of Enforcement (ED) has conducted search operations across nine locations in Assam and Mizoram in connection with a massive Rs 146 crore vehicle loan fraud linked to Mahindra & Mahindra Financial Services Limited (MMFSL). The raids, part of an ongoing investigation, uncovered crucial evidence related to the scam.
The ED launched its probe based on multiple FIRs registered by Mizoram Police under various sections of the Indian Penal Code (IPC), 1860. These FIRs and subsequent charge sheets revealed an elaborate conspiracy involving car dealers, MMFSL employees, and other individuals who secured fraudulent loans using fake customer profiles and forged documents, including Voter IDs, Aadhaar Cards, and Income Certificates.
Now Open: Pan-India Registration for Scam Reporters & Fraud Investigators!
Key Accused and Financial Trail
According to ED findings, four car dealers, in collusion with Jakir Hussain, a former MMFSL employee, orchestrated the scam. Of the Rs 146 crore siphoned off, Rs 71 crore has been recovered through loan repayments, while Rs 75 crore remains untraced. Investigators believe the missing funds are still with the main accused and the involved car dealers.
Seizures and Asset Attachments
During the search operations, ED officials discovered details of movable and immovable assets linked to the accused, including multiple bank accounts. In a significant move, authorities provisionally attached Rs 9.9 crore and two vehicles purchased using the illicit funds under a Provisional Attachment Order (PAO) issued on March 7, 2025.
The investigation is ongoing, with authorities working to trace the remaining funds and identify all individuals involved in the fraud.