Mumbai: The Enforcement Directorate (ED) has submitted a chargesheet against 15 accused, including Max Flex & Imaging Systems Ltd, Nimesh Shah and Pankaj Jobalia, in a money laundering case involving bank fraud of Rs 464 crore. The court took cognisance of the chargesheet last week.
According to the ED, the company manipulated its books and inflated stock figures, causing a financial loss of Rs 464.4 crore to banks. The agency stated that the company, its directors, and associated entities misused bank credit facilities through forged and fabricated financial documents.
The ED alleged that the company engaged in circular transactions with related entities without actual goods transfer, creating an illusion of legitimate trade transactions in its accounts and manipulating stock records.
The ED said the accused diverted loan funds by disguising these as loans and advances to connected parties.