Samajwadi Party's Tiwari in Custody over Rs 750 Crore Loan Fraud

Vinay Shankar Tiwari and Ajeet Pandey have been remanded to Enforcement Directorate custody in a money laundering case involving a Rs 750 crore bank loan fraud. The ED carried out multiple searches and accused Tiwari of diverting funds and acquiring properties via shell companies.

On Tuesday, a PMLA court remanded Samajwadi Party leader Vinay Shankar Tiwari and an executive of his company to Enforcement Directorate custody till April 11. The case involves allegations of money laundering linked to a bank loan fraud, the agency revealed.

Tiwari and Ajeet Pandey, the managing director of Gangotri Enterprises Limited, were detained by the ED in Uttar Pradesh on Monday. The detainment followed fresh searches at multiple locations, uncovering fund misdirections and significant asset transfers.

The money laundering accusations arise from a CBI FIR, indicating a Rs 750 crore bank loan fraud with alleged fund diversions to shell companies. Properties were transferred under dubious circumstances, causing a significant financial hit to the bank consortium led by Bank of India.

(With inputs from agencies.)