On Friday, a team from the Enforcement Directorate (ED) arrived in Ghazipur district, Uttar Pradesh, traveling in a vehicle with a Bihar number plate. The team conducted a day-long secret investigation at Purvanchal Co-operative Bank, located in Lanka. Following the investigation, the former promoter of the bank, Rambabu Shandilya, was arrested.
The arrest was confirmed by Ghazipur’s Superintendent of Police (SP), Dr. Iraj Raja, who stated that the arrest was made in connection with a money laundering case.
This arrest follows a significant development earlier in the year. On June 14, the Reserve Bank of India (RBI) had canceled the license of Purvanchal Co-operative Bank Limited due to serious concerns.
In addition, a case had been registered in August 2023 based on an investigation report by the RBI. The case was filed at the city police station against Shandilya, the former CEO of the bank, Vivek Pandey, members of the Management Committee, the auditor M/s Vijay K. Sharma & Company, the bank’s proprietor, and other related parties and firms. The investigation is being led by the Co-operative Cell in Varanasi. More details about this incident will be released soon.
