ED attaches ₹40.40 crore properties in DHFL fraud case

The Directorate of Enforcement (ED) issued a press release announcing the provisional attachment of properties worth ₹40.40 crores belonging to Harish Dedhiya and Dhara Dedhiya under the Prevention of Money Laundering Act (PMLA), 2002, in connection with the DHFL bank fraud case.

Who it concerns: Harish Dedhiya, Dhara Dedhiya, M/s Reliable Services, M/s Millennium Services, Union Bank of India, the consortium of 17 banks, Kapil Wadhawan, Dheeraj Wadhawan, and the Directorate of Enforcement (ED).

What the ED says it did

• ED provisionally attached immovable properties worth ₹40.40 crores under PMLA, 2002.
• The attached properties include land parcels at Karjat, District Raigad, Maharashtra, and a residential plot at Shanti Niketan, New Delhi.
• The investigation stems from a CBI FIR regarding a criminal conspiracy to cheat a consortium of 17 banks that sanctioned ₹42,871 crores to DHFL.
• ED found that approximately ₹40.40 Crore was diverted to M/s Reliable Services and M/s Millennium Services (owned by Harish and Dhara Dedhiya) in F.Y. 2018-19 against fictitious services that were never rendered.
• ED has filed Prosecution Complaints against 17 accused and Supplementary Complaints against 5 more accused before the Special Court (PMLA), Mumbai.
• ED previously froze approximately US$ 5.41 million (approx. ₹51.75 crores) linked to the disposal of a foreign asset of the Wadhawan family.

Also in the document

• The FIR alleges a wrongful loss of approximately ₹34,615 Crore to the consortium lenders.
• Forensic audits identified 66 entities connected to the promoters to which over ₹29,100 crores were disbursed.
• Approximately ₹11,549 crores were diverted to 87 promoter-controlled entities through a fictitious 'Bandra Branch' disguised as home loans in the names of about 2.60 lakh fictitious retail borrowers.
• ED stated it is committed to restituting Proceeds of Crime to the consortium banks.