ED files prosecution complaint against Saisree Engineers Pvt. Ltd.

The Directorate of Enforcement (ED), Hyderabad Zonal Office, has filed a prosecution complaint before the Special Court for CBI Cases in Hyderabad against Saisree Engineers Pvt. Ltd. (SEPL) and others under the Prevention of Money Laundering Act, 2002. The court took cognisance of the complaint on July 28.

The money laundering probe was triggered by an FIR registered by the CBI’s Economic Offences Wing (EOW) in Chennai against SEPL, its management, unnamed bank officials, and unidentified public servants. A chargesheet was later filed by the CBI before the XXI Additional Chief Metropolitan Magistrate, Nampally, Hyderabad, detailing how the company and its managing director, Sagiraju Suryanarayana Raju, defrauded the State Bank of India by submitting forged documents and fictitious properties as collateral.

The ED’s investigation has now revealed that SEPL caused a wrongful loss of ₹7.51 crore to the bank. The company is alleged to have layered loan funds through its various bank accounts, siphoning off significant amounts in cash, which were then diverted for the personal benefit of its directors.

One of the key findings is that SEPL received ₹13.53 crore from Bharat Coking Coal Ltd. and deposited the amount into its current account with Andhra Bank, bypassing its loan account with SBI. Instead of repaying dues, the funds were misused through a web of transactions including cash withdrawals, transfers to the personal accounts of Sagiraju Suryanarayana Raju, diversions to employee accounts, and settlement of unrelated loans, all designed to launder the proceeds of crime.

The agency had earlier attached three immovable properties valued at ₹3.11 crore belonging to Raju as part of the ongoing probe.