The Enforcement Directorate (ED) is conducting search operations at 11 premises in Kolkata, West Bengal, in connection with a 290 crore rupee bank fraud involving Kohinoor Power Private Limited.
According to ED officials, the company had availed loans from banks for setting up a 66-megawatt power plant in Jharkhand.
The agency alleged that the loan funds were subsequently syphoned off to other group entities and diverted for personal purposes. The officials said the company eventually underwent insolvency proceedings before the National Company Law Tribunal.
During the liquidation process, only around seven crore rupees could be recovered, resulting in substantial losses to the creditors.
The search operation covers the premises of the group’s promoters and other directors, as well as the offices of auditors and other associated persons.