Did ED Just Attach Rs 51.7 Crore in Dubai Assets Related to a Rs 1,266 Crore SBI Fraud?
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Synopsis
The Directorate of Enforcement has taken significant action against a bank fraud case by attaching Rs 51.7 crore worth of Dubai properties linked to Advantage Overseas Private Limited, revealing a complex web of financial misconduct.
Key Takeaways
- The ED has provisionally attached assets worth Rs 51.7 crore in Dubai linked to a bank fraud case.
- Shrikant Bhasi, the main director of AOPL, is at the center of the investigation.
- The fraud resulted in a significant loss to the State Bank of India amounting to Rs 1,266.63 crore.
- The properties were allegedly acquired using proceeds of crime.
- Further investigations are underway to trace additional financial misconduct.
New Delhi, Nov 18 (NationPress) - The Directorate of Enforcement (ED), operating from the Bhopal Zonal Office, has provisionally seized nine opulent foreign properties situated in Dubai (UAE) under the Prevention of Money Laundering Act (PMLA), 2002. These properties, comprising apartments and commercial spaces, are valued at Rs 51.70 crore.
The ED stated that this attachment, executed on Monday, pertains to a case of bank fraud involving M/s Advantage Overseas Private Limited (AOPL) and its directors, guarantors, and associated individuals, including the principal director and significant beneficial owner, Shrikant Bhasi, which resulted in a wrongful loss of Rs. 1266.63 Crore to the State Bank of India.
The properties in question are owned by Shrikant Bhasi, who had transferred them to his daughter as a gift.
The ED explained, "The foreign assets located in Centurion Residence – Dubai Investment Park Second, Dubai Silicon Oasis, Liwa Heights (Al Thanyah Fifth), Business Bay, and World Trade Centre Residences were acquired using Proceeds of Crime (POC) linked to the bank fraud incident that led to significant losses for SBI's Shahpura Branch amounting to Rs. 1266.63 Crore."
Investigations revealed that Shrikant Bhasi, who held strategic control over AOPL and its affiliates, procured the foreign properties in Dubai.
Moreover, the ED noted that these assets were intentionally gifted to his daughter via gift deeds executed during 2022–2023, without any compensation, in an attempt to obscure the origins of the POC.
According to the agency, the properties were purchased with funds generated through AOPL and its affiliates via illegal merchanting trade transactions, diversion of bank funds, document fabrication, circular trading, and layering of illicit proceeds.
The investigation disclosed that 12 Foreign Letters of Credit (FLCs) totaling USD 200 million (approximately Rs. 1266.63 Crore) devolved upon SBI between April and May 2018 due to AOPL's failure to meet mandatory margin requirements and the inability to infuse funds for the LC rollover.
As a result of diminished Fixed Deposit margins and the company's default on obligations, the bank was forced to remit payments to international suppliers, leading to substantial losses for the public sector bank.
These devolved LCs are a critical element of the POC, which were subsequently laundered through related entities and utilized to acquire foreign assets.
The ED's investigation has also unveiled a web of domestic and foreign entities engaged in layering, fund diversion, and asset acquisition both domestically and internationally.
Further investigations are currently ongoing.
Point of View
The recent actions by the ED highlight the ongoing battle against financial fraud in India. With the attachment of significant assets linked to a massive bank fraud case, it underscores the importance of vigilance and accountability in the financial sector. The investigation not only seeks to recover lost funds but also aims to deter future financial crimes, reinforcing the trust of the public in our banking system.
NationPress
19/11/2025
Frequently Asked Questions
What properties were attached by the ED?
The ED attached nine luxurious foreign properties located in Dubai, including apartments and commercial spaces, valued at Rs 51.7 crore.
Who is Shrikant Bhasi?
Shrikant Bhasi is the main director and significant beneficial owner of Advantage Overseas Private Limited, linked to the bank fraud case.
What was the cause of the financial loss to SBI?
The loss was caused by the failure of Advantage Overseas Private Limited to meet the mandatory margin requirements for Foreign Letters of Credit, resulting in a wrongful loss of Rs 1,266.63 crore.
What is the Prevention of Money Laundering Act?
The Prevention of Money Laundering Act (PMLA), 2002, is an Indian law aimed at preventing money laundering and to provide for confiscation of property derived from money laundering.
Is the investigation still ongoing?
Yes, the ED has noted that further investigations are currently in progress to uncover more details related to the case.
