Patna, March 11 : The Enforcement Directorate (ED) has filed a Prosecution Complaint (PC) before the Special PMLA Court, Patna in connection with the Rs 83.5 crore fraud at Vaishali Sahari Vikash Cooperative Bank (VSVCB) in Hajipur of Bihar.

ED has named Vipin Tiwari, suspended CEO of VSVCB Bank, Sandeep Kumar Singh, proprietor of N Dimension company, Nitin Mehra, a proprietor of Mehra Travels and Ram Babu Shandilya, associated with fraudulent financial dealings, in the chargesheet.

Additionally, their linked firms Rakshika Travels India LLP, Shandilya Tech Enterprises LLP and RSDR Agri Aqua LLP are also under scrutiny.

According to an official of ED, suspended CEO Vipin Tiwari & Chairman Sanjeev Kumar allegedly misused their positions and siphoned off money under fake accounts and fraudulent transactions.

Bihar Police had registered three FIRs under relevant sections of the Bhartiya Nyay Sahita for cheating and forgery against them. The Special PMLA Court has taken cognizance of the case on Tuesday, setting the stage for legal proceedings.

ED seeks the conviction of all accused in this major financial fraud.

The ED has uncovered shocking details in the Vaishali Sahari Vikash Cooperative Bank (VSV) fraud case involving Rs 83.5 crore embezzlement.

The bank officials bypassed rules sanctioned fake loans to 383 accounts and fraudulently issued loans worth Rs 79.02 crore.

An additional Rs 4.48 crore was misappropriated through bank staff. The alleged officials of this bank had used fake warehouse receipts, LIC policies, and JLG records to cover up cash shortages.

Earlier, ED raided on Jan 10, 2025, at 19 locations led to arrests of Vipin Tiwari, Sandeep Kumar Singh, Nitin Mehra, and Ram Babu Shandilya.

The fraud resulted in significant financial losses for the bank and the public. From the aforesaid embezzled amount, funds of around Rs.25 Crore, transferred via RTGS/IMPS/NEFT from the fraudulent loan accounts, were traced to bank accounts associated with Nitin Mehra, his firm -- Mehra Travels, and N. Dimension.

The ED official said that the funds used by Vipin Tiwari were for personal and business expenses.

/IANS