Press Release
03-06-2025
Directorate of Enforcement (ED), Ahmedabad Zonal Office has filed Prosecution
Complaints in the matter of M/s Avon Cold Storage Private Limited under the provisions of the
Prevention of Money Laundering Act (PMLA), 2002 before the Hon’ble Special Court (PMLA)
on 31.05.2025. The Hon’ble Court has taken cognizance of the PC.
ED initiated investigation on the basis of FIR registered by the CBI, ACB, Gandhinagar
against M/s Avon Cold Storage Private Limited, its Directors & other private persons and public
servants, alleging that the accused person in criminal conspiracy cheated Union Bank of India
by the means of falsification of the records and providing false/forged documents, and
dishonestly availed the loan facility.
ED investigation revealed that the term loan facility was availed by M/s Avon Cold
Storage Private Limited from Union Bank (earlier known as Andhra Bank) on the production of
bogus proforma invoices from M/s Patmax Engineers Private Limited. These credits facilities
were extended for purchase of plant & machinery for setting up of cold storage unit; however,
the said amount was not utilized for the said operations. The term loan was re-routed through
different entities and withdrawn in cash to the tune of Rs 3.92 Crore, leaving no money trail
behind. The funds were further utilized for purposes other than stated in the loan agreement.
Further, movable and immovable properties valued at Rs 1.30 Crore (approx.) have already
been provisionally attached.
Further investigation is under progress.
