The Enforcement Directorate (ED) has not yet summoned Sharad Pawar or any others accused in relation to the Maharashtra State Co-operative Bank scam as it is an audit based investigation that is relying on NABARD Audit reports, said sources who spoke to Moneycontrol.
The sources said that the probe is focused on the money-trail, the diversion of funds and its end beneficiaries. The sources also said that the extent and the time period for examining the scam could extend beyond that which is mentioned in the complaint.
The NCP chief on September 25 said he will visit the Enforcement Directorate (ED) office on September 27 in connection with the case.
The Enforcement Directorate (ED) on September 24 registered an Enforcement Case Information Report (ECIR) in connection with the Maharashtra State Co-operative (MSC) Bank fraud case against Nationalist Congress Party (NCP) chief Sharad Pawar, his nephew and former deputy chief minister Ajit Pawar and 70 other officials of MSC Bank.
It is alleged that MSC Bank had sanctioned loans in a fraudulent manner to office bearers and directors of local co-operative sugar factories (CSFs), spinning mills and other processing units, and also to the bank's then top executives. The scam is pegged at Rs 25,000 crore.
Most of the 48 directors of the MSC Bank at the time when the alleged fraud was committed between 2001 and 2011 were elected representatives from various parties.
The ED will be probing the alleged money-laundering in the case. Sources stated that loans were provided to CSFs by the officials of the MSC Bank who were allegedly connected to the owners. The loans sanctioned is suspected to have been done only to extend benefits to the directors of the lending bank for personal gains thereby defrauding and cheating the bank and its shareholders.
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