Jammu, Feb 2 (IANS) Enforcement Directorate (ED) said on Monday that its Jammu Sub-Zonal Office has filed a chargesheet under the provisions of the Prevention of Money Laundering Act (PLA), 2002, before the Special Court (PMLA) against M/S Bharat Papers Limited and its directors.
A press statement issued by ED said, “Jammu Sub-Zonal Office has filed a Prosecution Complaint under the provisions of the Prevention of Money Laundering Act (PLA), 2002 before the Hon’ble Special Court (PMLA) Jammu on 30.01.2026 against M/s Bharat Papers Limited (BPL) and its Directors/associated persons namely Anil Kumar, Parveen Kumar, Baljinder Kumar, Rajinder Kumar and Anil Kashyap for commission of offence of money laundering.”
The ED initiated an investigation based on an FIR registered by CBI, ACB, Jammu, relating to a bank loan fraud of approximately Rs 200 crore involving a consortium of banks led by the State Bank of India.
ED investigation revealed that the accused persons, in criminal conspiracy, fraudulently availed bank loans and did not utilise the same for the sanctioned purpose. Instead, during the period 2008 to 2013, the loan funds were diverted and siphoned off through a structured modus operandi including: routing of funds through bogus entities and cash withdrawals, opening/operating bank accounts outside the consortium of banks and diverting receivables therein, large-scale cash withdrawals from loan/current/cash credit accounts, routing of funds through paper entities/shell companies, stealthy removal and sale of machinery parts from factory premises camouflaged through bogus invoices, and manipulation of books of accounts including abnormal stock write-offs in the balance sheets for FY 2010-11 to FY 2012-13.
“During investigation, it was found that the group operated/used bogus concerns/entities such as M/s DEE ESS Engineers, M/s Triveni Engineers, M/s Arrow Scafftech Pvt Ltd, M/s R S Industries, M/s Arrow Enterprises, M/s Suka Mouldings Pvt Ltd, M/s Kahlon Auto Industries and M/s Regent Fabrications, among others, to siphon and layer funds,” the agency said.
“Further, layering through paper entities/shell companies was revealed, wherein funds were routed into M/s Indo Global Teno-Trade Limited (non-functional) and thereafter routed into BPL in the form of share capital/investments, thereby camouflaging the audit trail,” the ED said in the statement.
Earlier, ED conducted searches in the instant case at multiple locations in Jammu and Kashmir, Punjab and Uttar Pradesh. During the course of searches, incriminating documents and digital evidence were recovered and seized. Further, cash amounting to more than Rs 30 lakh and approximately 600 grams of gold were also seized, relating to the generation and concealment of Proceeds of Crime.
“During the course of investigation, one of the Directors of M/s Bharat Papers Limited, Anil Kumar, was also arrested under the provisions of PMLA.
ED investigation further revealed that the Proceeds of Crime were diverted and layered and were utilised for the acquisition/creation of immovable properties.
“Accordingly, ED provisionally attached immovable properties valued at Rs 66.77 crore, which inter alia, include: (i) industrial land in District Kathua along with construction thereon, held in the name of Mis Bharat Papers Limited: 02 residential properties in Model Town. Ludhiana held in the names of Smt. Anjul Aggarwal, wife of Anil Kumar Aggarwal, and Rainder Kumar Aggaral and Parveen Kumar Aggarwal,” the agency said.
ED investigation found non-cooperation in Corporate Insolvency Resolution Process (CIRP) by M/s BPL and its accused Directors in proceedings, including non-handing over of records as reflected in the proceedings initiated before the NCLT Chandigarh bench.
“Further investigation is in progress,” the ED press release said.
–IANS
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