ED Targets Financial Fraud: Major Seizure in Rockland Hospitals Case

The Enforcement Directorate in Delhi has attached assets worth Rs 158.37 crore linked to Rockland Hospitals amid a money laundering probe. Promoters allegedly siphoned funds through fake invoices, inflating construction costs. Further raids recovered assets, freezing several bank accounts to seize fraud proceeds.

The Enforcement Directorate (ED) in New Delhi has provisionally attached immovable properties valued at approximately Rs 158.37 crore. This action is part of an ongoing investigation into Rockland Hospitals Limited under the Prevention of Money Laundering Act (PMLA), 2002.

An official press release revealed that promoters of Rockland Hospitals allegedly siphoned off company funds through fabricated implant invoices totaling Rs 76.03 crore and inflated construction expenses of Rs 82.34 crore. The illicit proceeds were funneled through shell companies before being reintroduced as share capital.

The probe was initiated following a January 31, 2020 complaint filed by the Serious Fraud Investigation Office (SFIO) to the Special Court under the Companies Act in Dwarka, New Delhi. The investigation exposes a significant financial fraud, with quantified proceeds totaling Rs 158.37 crore. Meanwhile, in a separate operation, the ED raided eight premises linked to Mangal Sain Mittal and Anil Sharma, uncovering assets worth Rs 6.63 crore and freezing multiple bank accounts related to a cooperative housing society fraud. The raids extended across Delhi, Faridabad, and Gurgaon, substantiating alleged Rs 90.5-crore fraud allegations.