Kolkata, September 7, 2026 (Yes Punjab News)
The Enforcement Directorate (ED) has conducted search operations at 12 premises across West Bengal in connection with an alleged bank fraud involving Kohinoor Power Pvt. Ltd. (KPPL), where the company defaulted on more than Rs 280 crore, the central agency said on Monday.
The searches were carried out by the ED’s Kolkata Zonal Office under the Prevention of Money Laundering Act (PMLA), 2002.
According to the agency, the investigation stems from a complaint filed by the Serious Fraud Investigation Office (SFIO) before the 2nd Special Court at Kolkata concerning the affairs of KPPL and others.
The Ministry of Corporate Affairs (MCA) had ordered an investigation into the company after the Insolvency and Bankruptcy Board of India (IBBI) forwarded a list of companies in which Resolution Professionals had approached the National Company Law Tribunal (NCLT) over alleged avoidance transactions.
The ED said its investigation found that KPPL and its directors allegedly engaged in fraudulent activities, including furnishing false information, concealing material facts, manipulating books of accounts and diverting loan funds. The agency alleged that these actions resulted in consortium banks being dishonestly induced to sanction and disburse financial facilities.
The company subsequently went into liquidation under the Insolvency and Bankruptcy Code (IBC), with only around Rs 7 crore recovered, resulting in a 97.5 per cent haircut for the banks, the agency said.
The investigation also traced dozens of immovable properties in and around Kolkata that were allegedly acquired from proceeds of crime. According to the ED, the promoters were receiving rental income of around Rs 26 lakh per month from these properties.
The agency further alleged that KPPL promoters Vijay Bothra and Prashant Bothra controlled more than 100 shell entities that were being used to siphon and launder proceeds allegedly generated from the bank fraud. Large sums were also allegedly invested abroad in the names of relatives and dummy directors.
During the searches, the ED froze bank accounts linked to more than 150 shell entities and individuals, along with securities and other financial investments, including shares, mutual funds and debt securities. The total value of the frozen bank balances and financial assets is around Rs 64 crore.
The agency also seized digital evidence, company records, financial documents and property deeds. These materials are being analysed to trace the alleged proceeds of crime and identify additional assets acquired from them.
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