In a money laundering investigation, the ED has arrested a former Maharashtra MLA

16th June,2021

In a money laundering investigation, the ED has arrested a former Maharashtra MLA


Officials stated on Wednesday that the Enforcement Directorate (ED) had detained former Maharashtra MLA Vivekanand S Patil in a money laundering case involving an alleged fraud of over Rs 512 crore in a Panvel-based cooperative bank. Patil, 66, was arrested by the central probe agency around 8:15 p.m. on Tuesday after being questioned at the ED office in the Ballard Estate area of the city, according to officials.The ED money laundering case stems from a FIR filed by the Navi Mumbai police's economic offences wing (EOW) in February last year, alleging irregularities totaling Rs 512.54 crore in the Karnala Nagari Sahakari (cooperative) Bank, which is headquartered in Panvel in the neighbouring Raigad district.

Patil, the former chairman of the cooperative bank and a former member of the Panvel assembly constituency, was listed as an accused, along with the vice-chairman, chief executive officer, and several others who had taken out loans from the institution, by the police.According to authorities, the discrepancies were discovered after a Reserve Bank of India investigation of the bank's operations led to a special audit of the lender's 17 branches. Withdrawals were eventually limited to Rs 500 per depositor across all accounts by the RBI.

In its FIR, the police alleged criminal breach of trust, defrauding, and other offences under the Indian Penal Code, the Cooperative Societies Act, and the Maharashtra Protection of Depositors Act. After Vivekanand Patil got a licence from the RBI, the bank was said to have been created in 1996 under the Cooperative Bank Act.