ED raids locations of Haryana Congress MLA Rao Dan Singh, others in Rs 1,392 crore loan fraud case

The Enforcement Directorate (ED) on July 18 searched locations of Haryana Congress MLA Rao Dan Singh, a metal fabricating company and its promoters as part of a money laundering probe linked to an alleged Rs 1,392 crore worth bank loan fraud case, official sources said. 

About 15 locations, including those in Mahendragarh, Bahadurgarh and Gurugram in Haryana, Delhi and Jamshedpur, were being searched by the central agency. 

This includes the premises of the 65-year-old MLA from Mahendragarh constituency, his son Akshat Singh, the company Allied Strips Limited (ASL) and its promoters Mohinder Agrawal, Gaurav Agrawal and some others, the sources said. 

ASL is in the manufacturing of cold roll steel products. The company is alleged to be involved in a bank loan fraud case of Rs 1,392 crore and was booked by the CBI in 2022. 

It is alleged that Rao Dan Singh’s family and his companies took loan money from ASL but never returned and later these funds were written off, the sources said. 

The case was registered on a complaint from Canara Bank, which led the consortium of five banks that extended credit facilities to the company. 

The company started delaying payments of interest and instalments in November 2012. On the company’s request, the lenders restructured the loans in December 2013. However, the account later turned a non-performing asset.