Hyderabad: The Enforcement Directorate (ED) has captured Vuppalapati Satish Kumar, Managing Director of the City Basis Prithvi Solutions Information Limited (PISL), under the prevention of money laundering Law (PMLA) to cause a loss of Rs 3,316 Crore to the Public Sector Bank Consortium.
The previous agency captured Hima Binda B, MD VMC System Limited, in the same case.
Ed has initiated a money laundering probe based on the FIR submitted by the CBI against VMC Systems Limited (VMCSL), which has taken loans from the Bank’s consortium.
An extraordinary present to all banks is Rs 3,316 Crore.
Forensic Audit revealed that VMCSL circulated loans to various related entities to expand their account books.
The next audit revealed that VMCSL opened various credit letters worth RS 692 Crore on behalf of the Dummy entity, which was then charged.
V Satish Kumar – Through his company PISL and Ennar Energy and with the help of active from his sister Hima Binda – creating excessive operating income by producing fake sales invoices through companies controlled by family members.
This is done to avoid banks.
“Satish and Hima Bindu resembles the part of the crime by sending it to foreign entities controlled by their family members,” Ed said.
Although Satish Kumar claimed he did not have a link with a VMCSL loan, more than 40 VMCSL hard disks recovered from his residence during the search carried out by ED on July 20.
In the forensic examination of digital devices, it was found that he had pampered Beni transactions and involved in an effort to transfer the number of fraud to offshore entities.
“Satish is not cooperative during the investigation and does not supply its own business entity documents in one excuse or another,” Ed said.
He was arrested and produced before the PMLA Special Court.
Later, ED was given 10 days prisoners.
Loan fraud: Hyd Co MD was arrested for money laundering
