The Enforcement Directorate (ED) on Wednesday carried out raids at four locations in Ahmedabad in connection with a ₹10.93 crore bank fraud case, days after the GST department’s crackdown on major garba venues in the city.
Officials said the searches are part of a wider investigation into financial irregularities ahead of Diwali.
The case involves three textile firms — Shree Om Fab, Shree Baba Textile, and Shree Laxmi Fab — owned by Ranjitkumar J. Loonia. The firms allegedly used forged documents to obtain cash credit loans and diverted the funds for personal expenses such as property purchases, gold and silver investments, and loan repayments.
“The accused misused public funds worth ₹10.93 crore by submitting fake documents and falsified business records,” ED sources said.
The CBI had earlier filed an FIR in 2018 and a chargesheet in 2019, after which the ED launched a probe under the Prevention of Money Laundering Act (PMLA) in March 2021.
During Wednesday’s raids, officials seized documents, accounting records, and digital devices from business and residential premises. A fixed deposit of ₹23 lakh and two bank lockers were also frozen.
“The seized material is being examined to trace further proceeds of crime. Properties worth several crores have been identified for attachment under PMLA,” an ED source said.