ED Tightens NSEL Probe, Attaches Rs 19.12 Crore Assets of LOIL Companies
March 27, 2026
ETT News / New Delhi
The Directorate of Enforcement (ED) has attached an immovable property worth ₹19.12 crore in connection with the National Spot Exchange Limited (NSEL) scam, widening its money laundering probe into one of the country’s biggest commodity trading fraud cases.
The ED’s Mumbai Zonal Office carried out the provisional attachment under the Prevention of Money Laundering Act (PMLA), 2002. The agency launched its investigation on the basis of an FIR registered by M.R.A. Marg Police Station, Mumbai, which is being investigated by the Economic Offences Wing (EOW) of Mumbai Police against NSEL, its directors, key officials and 25 defaulters.
According to the ED, the investigation found that NSEL and its defaulting members allegedly allowed trading in commodities without actual underlying stocks. The agency said this fraudulent arrangement led to losses of nearly ₹5,600 crore, affecting around 13,000 investors.
The probe further revealed that three defaulting members — LOIL Overseas Foods Ltd, LOIL Continental Foods Ltd and LOIL Health Foods Ltd, collectively known as the LOIL Group — allegedly secured funds through bogus paddy sale transactions on the NSEL platform.
The ED said the LOIL Group’s total liability towards NSEL stood at ₹720.30 crore. Investigators also found that around ₹569.04 crore was allegedly siphoned off from NSEL settlement accounts linked to the group entities.
During the investigation, the agency traced a substantial portion of the diverted funds through several group companies, including Lakshmi Energy & Foods Limited. According to the ED, the accused entities allegedly used the money for repayment of bank loans, business operations, working capital requirements and the purchase of immovable properties.
The agency said it has so far issued 34 Provisional Attachment Orders in the NSEL case, attaching properties worth nearly ₹3,452.16 crore.
The ED has also filed seven Prosecution Complaints against 148 accused persons before the Special Court under the PMLA, which has already taken cognizance of the matter.
The agency said the investigation is still underway.
ED NSEL Case LOIL Group Assets Attached NSEL Scam Rs 19 12 Crore Attachment ED Mumbai Zonal Office PMLA Case National Spot Exchange Limited Fraud LOIL Overseas Foods LOIL Continental Foods LOIL Health Foods
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