The Enforcement Directorate (ED) conducted searches at Chadalawada Infratech Limited, targeting eight locations, including Hyderabad and Ongole. In Hyderabad, it was found that State Bank of India (SBI) had sold a loan to Chadalawada Infratech for Rs. 167 crore, which was allegedly duped. Officials discovered that the funds received from the bank were misappropriated and diverted. The Central Bureau of Investigation (CBI) and the Anti-Corruption Bureau (ACB) have also registered cases against Chadalawada Ravindra Babu, the company’s director, and others. The ED’s investigation is based on the FIR filed.
According to ED officials, the directors conspired with others to misuse the loan funds obtained from the bank. They discovered that the loan amounts were funneled into the accounts of employees and directors. Additionally, documents related to the Chadalawada property and other incriminating evidence, including digital devices, were seized. The investigation into the fund diversion is ongoing.