₹132.85 Crore Assets Attached as ED Tightens Ushdev Bank Fraud Investigation
February 13, 2026
ETT News / New Delhi
The Enforcement Directorate (ED) intensified its crackdown on corporate loan defaults today, February 13, 2026, by provisionally attaching assets worth ₹132.85 crore in connection with a massive money laundering probe against Ushdev International Limited (UIL).
The Mumbai Zonal Office targeted a range of immovable properties, including office units and land parcels located across the Mumbai and Raigad districts of Maharashtra. This latest action follows a First Information Report (FIR) originally registered by the CBI’s BS & FB unit, which alleged that the company defrauded a State Bank of India-led consortium of approximately ₹1,438 crore.
Investigators discovered that the accused used a sophisticated network of shell companies to siphoned off bank funds. The agency found that the company secured cash credits and letters of credit using fabricated trade documents for business transactions that never actually took place.
According to the ED, these funds were funneled through supplier entities that acted as mere conduits. The money was layered through multiple intermediary layers before being routed back to the Ushdev group, effectively creating a "circular" money trail to give the illicit funds a facade of legitimacy.
A significant portion of these diverted funds reportedly ended up with Uttam Galva Group companies. The agency’s probe revealed that UIL diverted cash credit funds under the guise of "advances" to dormant entities that had no genuine business operations.
The federal agency also uncovered an international dimension to the fraud, where credit facilities financed imports that were re-exported to related entities overseas. The resulting export proceeds were never brought back to India, but were instead diverted to connected entities and subsidiaries abroad.
With this latest round of seizures, the total value of assets provisionally attached by the ED in the Ushdev International case has reached ₹176.37 crore. Officials stated that further investigations are ongoing to trace the remaining proceeds of crime and identify additional beneficiaries of the ₹1,438 crore fraud.
ED Ushdev International Case 132 85 Crore Assets Attached Ushdev Bank Fraud 1 438 Crore Fraud ED Mumbai Raigad Properties Money Laundering Probe
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