Hyderabad — The Enforcement Directorate conducted searches at seven premises across Hyderabad, Secunderabad, and Medchal-Malkajgiri on Friday as part of a money laundering investigation into the alleged diversion of bank funds by Kanakadhara Ventures Pvt Ltd (KVPL) and its directors.
The operations, carried out under the Prevention of Money Laundering Act, targeted the registered office of KVPL, the homes of its directors, and the premises of individuals and entities suspected of acting as conduits for the siphoning of bank funds.
The federal agency stated that the probe stems from allegations that a consortium of lenders led by Punjab National Bank—which also included IDBI Bank, Union Bank of India, Bank of Baroda, and erstwhile Andhra Bank—was defrauded of ₹326.49 crore.
According to the agency's findings, credit facilities and bank guarantees sanctioned to KVPL were systematically misused. Investigators uncovered an alleged scheme of fund diversion using fabricated transport documents and bogus steel purchase invoices.
Furthermore, investigators discovered that KVPL operated unauthorized bank accounts outside the formal consortium agreement without informing the lending institutions.
During the course of the searches, enforcement officials recovered digital devices, incriminating documents, and other records pointing to the layering and diversion of funds. Authorities also seized ₹15 lakh in unaccounted cash.
Investigators have identified multiple immovable properties and investments linked to the case thus far. The money laundering inquiry was initiated following a case registered by the Central Bureau of Investigation's Banking Securities and Fraud Branch in Bengaluru based on a complaint from Punjab National Bank. Further inquiries remain ongoing.