The Enforcement Directorate has restored assets worth about Rs 100 crore to the liquidator of Pixian Media Limited and Pearl Vision Private Limited. These properties were earlier temporarily attached under money laundering, as the former company officials cheated banks and embezzled their money.
How did the scam happen?
The ED investigation started on the basis of 7 FIRs lodged by the Central Bureau of Investigation. These cases Prabodh Kumar Tiwari aka P.K. Tiwari and their companies- Pixion Media Private Limited, Pearl Vision Private Limited, Mahua Media Private Limited, Century Communication Limited, Pixian Vision Private Limited, Pearl Studio Private Limited, who cheated banks worth Rs 657.11 crore. These FIRs were registered on the basis of complaints of many banks including Punjab National Bank, Indian Overseas Bank, Oriental Bank of Commerce, State Bank of India and Bank of India.
How was the embezzlement of the fund?
ED investigation revealed that P.K. Tiwari and his family cheated banks and got loan and cash facilities through fake invoices, CA certificates, insurance policy etc. Later these funds were transacted several times and invested in the name of private properties and concerned companies.
ED action
The ED raided the locations of companies and people concerned under PMLA on 20 December 2019. During the investigation, P.K. Several assets purchased by Tiwari were traced, which were named after his family and other companies. Subsequently, the ED attached assets worth Rs 156.33 crore, including commercial and residential assets, money deposited in bank accounts etc. Later, the Adjudicating Authority of PMLA approved these cries.
Why were the assets back to banks?
The victim bank group filed a case in the National Company Law Tribunal (NCLT) under the Corporate Insolvency Solution Process (CIRP), after which the liquidator was appointed on 22 August 2019. On behalf of the banks (who was a valid contender in this case), the liquidator filed an application for the restoration of the properties before the Special PMLA Court (Judge Mr. Shailendra Malik). The ED also accepted this request and agreed to restore the properties under the PMLA for banks.
Court order
On 29 January 2025, the Special PMLA Court accepted the ED’s arguments and ordered the liquidator to restore assets worth Rs 100 crore. Now these properties will be used to compensate for banks. The ED is further investigating the case and other properties can also be identified.