The Enforcement Directorate also known as ED on July 18th searched locations of Haryana Congress MLA Rao Dan Singh, as part of a money laundering investigation which was connected to a purported bank loan fraud case totaling Rs 1,392 crore, along with the proprietors of the metal fabricating business, government sources declared.
Around fifteen locations, including those in Mahendragarh, Bahadurgarh and Gurugram in Haryana, Delhi and Jamshedpur, were under investigation by the national government.
This includes the premises of the 65-year-old MLA from Mahendragarh constituency, his son Akshat Singh, the company Allied Strips Limited (ASL) and its promoters Mohinder Agrawal, Gaurav Agrawal and some others, the sources said.
Allied Strips Limited (ASL) is into the manufacturing of cold roll steel products. The company is alleged to be involved in a bank loan fraud case of Rs 1,392 crore and was cited by the CBI in 2022.
The sources claimed that Rao Dan Singh’s family and his businesses borrowed money from ASL, never paid it back, and eventually wrote it off.
The case was registered on a complaint from Canara Bank, It was in charge of the group of five banks that provided the business with credit facilities.
In November 2012, the business began to withhold interest and installment payments. In December 2013, the lenders adjusted the loans at the company’s request. But eventually, the account became a non-performing asset.
