Rs 29.75 Crore Fraud in PNB, Properties worth Rs 12.79 Crore returned by ED
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On January 21, 2014, the CBI had registered an FIR against M/s Dynamic Shells (India) Private Limited and others for allegedly defrauding Punjab National Bank (PNB) of ₹29.75 crore. The investigation revealed that the company’s director, Shambu Prasad Singh, had siphoned off funds obtained through forgery and cheating. The money was moved through accounts of fake companies and firms, later withdrawn in cash or transferred to Shambu Prasad Singh’s personal accounts.
The investigation had been ongoing since 2014 for over 10 years, and the ED has now taken an important step in the case.
The Enforcement Directorate (ED) has returned properties worth ₹12.79 crore to Ashok Kumar Gupta, the liquidator of M/s Dynamic Shells (India) Private Limited, as part of efforts to restore the Proceeds of Crime (POC) to rightful claimants in a bank fraud case.
During the investigation under the Prevention of Money Laundering Act (PMLA), the ED attached assets worth ₹21.29 crore on March 29, 2017. A prosecution complaint was also filed in July 2018 against Singh and others.
On February 15, 2025, the liquidator approached the trial court under Section 8(8) of PMLA, seeking the release of an attached property in Bawal, Haryana — comprising a two-storied building, an industrial shed, and machinery — valued at ₹12.79 crore. PNB relinquished its claim over this property in favour of the liquidator, and the ED agreed to return the property.
The trial court, on June 5, 2025, approved the application and ordered the return of the property to the liquidator. This marks a significant step in ensuring that assets derived from financial crimes are returned to their rightful owners.
