Fri, Jan 03, 2014

http://economictimes.indiatimes.com/articleshow/28296628.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

HYDERABAD: The Enforcement Directorate has filed prosecution complaint against a former banker and six others before a local court for money laundering involving over Rs five crore. 

ED (Hyderabad Zonal Office) had registered an Enforcement Case Information Report ( ECIR) on October 30, 2009 and initiated investigation under Prevention of Money Laundering Act 2002 (PMLA) against K Sarath Babu, the then Deputy Manager, Andhra Bank and six others. 

Based on the evidence available with the ED, the proceeds of crime were identified in the form of cash of Rs 3.66 crore and two immovable properties of an extent of agricultural land of 5 acres and a flat possessed by Sarath Babu, a ED release said today. 

Subsequent to the taking over the possession of the properties, ED filed prosecution complaint under relevant sections of the PMLA against Sarath Babu and six others for the offence under Money Laundering. 

According to an ED official, Babu allegedly cheated his own bank to tune of Rs 5.4 crore through forged documents by withholdings a cheque (of lower amount) with him and creating new instrument with inflated value and encashing the same. 

Babu was arrested along with others and later released on bail.