New Delhi, August 27, 2026 (Yes Punjab News)
The Enforcement Directorate (ED) has seized cash of Rs 43.90 lakh and jewellery worth Rs 12.20 crore following searches at seven residential and business premises linked to Bilpower Limited in Mumbai and Vadodara in connection with an alleged Rs 160.55 crore bank loan fraud.
The searches were conducted on Tuesday by the ED’s Mumbai Zonal Office under the Prevention of Money Laundering Act (PMLA), 2002. During the operation, the agency also froze two bank accounts containing Rs 27 lakh under Section 17(1A) of the PMLA and secured three bank lockers.
The ED initiated its money laundering investigation on the basis of an FIR registered by the CBI in Delhi following a complaint by the State Bank of India. The CBI subsequently filed a chargesheet dated September 30, 2024, against Bilpower Limited, its directors and associate companies.
According to the ED, Bilpower had obtained various loan facilities from SBI and allegedly diverted the funds and manipulated its books of accounts, resulting in a loss of Rs 160.55 crore to the bank.
The company, which manufactures transformer laminations and cores, was managed by Rajendra Kumar Chaudhary, Suresh Kumar Chaudhary and Nareshkumar Chaudhary, the agency said.
Bilpower had maintained banking arrangements with SBI since 2005, including Cash Credit, Working Capital Term Loan, Funded Interest Term Loan and Corporate Loan facilities. It also had non-fund-based facilities such as Bank Guarantees, Letters of Credit and Foreign Currency Exposure.
The loan account was classified as a non-performing asset on April 18, 2012, with a principal outstanding of Rs 160.55 crore.
The ED said its investigation found transactions between Bilpower and certain shell or bogus firms, which were allegedly used for diversion and round-tripping of bank funds. Letters of Credit were allegedly devolved in favour of these entities, with forged documents submitted and used as genuine.
The agency alleged that the diverted funds were transferred to entities controlled by members of the Choudhary family or their associates.
During the latest searches, the ED also recovered documents relating to assets, including immovable properties, land and machinery, besides books of accounts, ledgers, digital devices and other incriminating documents.
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