ED secures conviction of five in money laundering case

It matters to citizens as it details a specific legal outcome involving bank fraud and the laundering of illicit funds.

Who it concerns: The document concerns the Directorate of Enforcement (ED), the Special Judge, Ghaziabad, the accused individuals (V.N. Mathur, Rajeev Kumar, Arvind Chaudhary, Ankit Chaudhary, and Pramod Kumar), and Syndicate Bank (specifically the Gajraula Branch and its Chief Vigilance Officer).

What the ED says it did

• The Special Judge, Ghaziabad, convicted all five accused in Case No. 5/23 via a judgment dated 03/11/2026.
• Each accused was sentenced to rigorous imprisonment for 3 years and a fine of ₹50,000.
• In default of paying the fine, each accused is liable to simple imprisonment for 3 months.
• The ED investigation was initiated based on two FIRs registered by the CBI, ACB Ghaziabad, on the complaint of the Chief Vigilance Officer of Syndicate Bank.
• In the underlying scheduled offence, V.N. Mathur was convicted under the IPC and Prevention of Corruption Act, 1988, while Rajeev Kumar and Pramod Kumar were acquitted.
• Rajeev Kumar and Pramod Kumar were convicted for money laundering despite their acquittal in the scheduled offence, based on evidence presented by the ED.
• The ED found that V.N. Mathur, then Branch Manager of Syndicate Bank, Gajraula Branch, sanctioned loans and overdrafts during 2006-07 using forged sale deeds, false non-encumbrance certificates, and false valuation reports.
• Loan proceeds were withdrawn in cash and layered through savings accounts and demand drafts to conceal their origin.
• The funds were integrated through the acquisition of immovable properties, including plots in Alipur (District J.P. Nagar) and Dehradun.

Also in the document

• The ED notes that Rajeev Kumar and Pramod Kumar were convicted for money laundering upon appreciation of evidence, even though they had been acquitted in the related scheduled offence.
• The conviction is for the offence of money laundering under Section 3, punishable under Section 4 of the PMLA, 2002.