https://www.taxscan.in/top-stories/ed-seizes-6750-lakh-cash-in-crown-mineralcanara-bank-fraud-probe-under-pmla-1445875

The Directorate of Enforcement (ED), Panaji Zonal Office, conducted search operations at six premises in Goa under the Prevention of Money Laundering Act (PMLA), 2002, in connection with a bank fraud case involving Crown Mineral Trading Corporation (CMTC) and its partners.

During the searches, officials seized ₹67.50 lakh in cash, incriminating documents including property sale deeds, and several digital devices.

The investigation originated from a complaint filed by Canara Bank, Madgaon Branch, which alleged that CMTC fraudulently obtained a credit facility of ₹7 crore and defaulted, leaving an outstanding NPA of ₹6.19 crore. The FIR was registered by the CBI (ACB), Goa, against CMTC and its partners.

Investigation inquiries revealed that CMTC had no genuine business operations. Loans taken from Canara Bank were allegedly diverted to personal accounts of its partners, supported by forged stock statements.

The same properties mortgaged with Canara Bank were also pledged to secure loans from other banks, including Madgaon Urban Co-operative Bank, Central Bank of India, Indian Bank, Karnataka Bank, and Bank of Baroda, amounting to ₹10.02 crore.

Earlier, the agency had attached properties worth ₹2.86 crore belonging to CMTC partners under PMLA.