ED attaches assets worth Rs 243 crore in Amanath case

The Enforcement Directorate has provisionally attached assets worth Rs 243.93 crore belonging to Mohamed Asadulla, A Shafiulla and their relatives under the Prevention of Money Laundering Act (PMLA), 2002 in a bank fraud case of Amanath Co-operative Bank Ltd, Bengaluru.
According to the ED, the money laundering investigation was initiated on the basis of an FIR registered by the Commercial Street Police Station, and chargesheet filed by the Criminal Investigation Department (CID), Bengaluru, on May 5, 2006 under various sections of the IPC before the First Additional Chief Metropolitan Magistrate (ACMM), Bengaluru, against Asadulla (ex-general manager of Amanath Co-operative Bank, Bengaluru), Shafiulla (ex-branch manager of Amanath Co-operative Bank, NR
Road) and K Hidayathulla (then accountant of the bank) regarding misappropriation of Rs 68.43 crore funds of the bank by opening fictitious overdraft accounts in the name of themselves, their relatives and
their entities.
“The investigation by ED revealed that the said persons, during the year 1997 to 2002, opened 50 fictitious overdraft accounts in the name of themselves, their relatives and their entities to misappropriate the bank’s funds. Further, they opened another eight real estate accounts and 165 housing loan accounts to adjust the outstanding amount of the said 50 fictitious accounts.
By doing so, the accused persons have succeeded in closing 40 accounts out of the said 50 fictitious accounts,” the ED stated. Properties totalling to eight acres situated at NS Palya, Begur Hobli, Bannerghatta Road, Bengaluru, held in the name of Asadulla, Shafiulla and their relatives, worth Rs 243.93 crore have been provisionally attached under the provisions of PMLA.