The Enforcement Directorate (ED) has filed a prosecution complaint before the Special Court (PMLA) against two promoters of a Delhi-based oil and gas integrated services provider firm under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, in an alleged bank fraud case exceeding Rs300 crore, as stated by the agency on Thursday.
The complaint was submitted on April 5 against Padam Singhee and Prem Singhee, the promoters of SVOGL Oil Gas & Energy Limited.
The central investigative agency initiated an inquiry based on two FIRs registered by the Central Bureau of Investigation (CBI) against SVOGL Oil Gas & Energy Limited, Max Tech Oil & Gas Services Pvt Ltd, Prem Singhee, Padam Singhee, and others.
According to the mentioned FIRs, Prem Singhee and Padam Singhee, along with others, defrauded banks of Rs 252 crore (from Punjab National Bank under the name of M/s SVOGL Oil Gas & Energy Limited) and Rs 65 crore (from Bank of India under the name of M/s Max Tech Oil & Gas Services Pvt Ltd).
As per the press statement, the ED investigation revealed that funds were transferred to various shell and dummy companies under the pretext of expenses and were illicitly diverted by the promoters. The accused parties also made investments unrelated to the intended purposes of bank loans.
The ED investigation disclosed that Padam Singhee acquired properties held by SOGL Group companies indirectly at nominal rates through shell companies beneficially owned by him. Additionally, other properties were acquired or held by him through such shell companies. The structure of the companies was meticulously planned to evade detection by banks or enforcement agencies, the statement further added.
These companies were managed by dummy directors. Examination of bank accounts and scrutiny of money trails unveiled numerous investments held and enjoyed by Padam Singhee for himself and his family members.
ED conducted search operations on the group entities and individuals on December 15, 2023.
During the search proceedings, evidence relating to fictitious transactions and dealings with shell entities was unearthed. The search operation and subsequent investigations led to the discovery of various companies held or operated by him.
The central agency provisionally attached assets worth Rs 58.82 crore (investments held with various fund managers and deposits with corporates) belonging to Padam Singhee on January 25, 2024, under the provisions of the PMLA, 2002, the statement stated.
Another provisional attachment order was issued on March 22, 2024, whereby immovable assets worth Rs 57 crore belonging to Padam Singhee were attached. The prosecution complaint also seeks the confiscation of the discovered properties.
