Ahmedabad: The Enforcement Directorate (ED) on Wednesday carried out searches at three locations in the city in connection with an alleged bank fraud of ₹10.95 crore, officials said.

According to preliminary details, the three Ahmedabad-based firms under the scanner are Shree Om Fab, Shree Baba Textile, and Shree Laxmi Fab. All these companies are owned by Ranjitkumar J. Loonia and are involved in grey cloth trading. It is alleged that the companies availed of cash credit facilities from the bank using forged documents. The sanctioned funds were reportedly diverted for purposes other than those mentioned in the loan applications.

The case stems from a First Information Report filed by the Central Bureau of Investigation (CBI) based on a complaint from Oriental Bank of Commerce. The raids were conducted by the agency’s Ahmedabad Zonal Office under the provisions of the Prevention of Money Laundering Act (PMLA), 2002.

The ED has pegged the proceeds of crime in the case at approximately ₹10.95 crore. DeshGujarat