Srinagar, November 9: The Enforcement Directorate (ED) has provisionally attached 11 immovable properties, including buildings and plots, worth Rs 10.63 crore in Srinagar and Bandipora districts of Kashmir in connection with alleged wrongdoings in a Central-government funded employment generation programme, an ED official said on Monday, IANS reported. The attachment was made by the ED's Srinagar Zonal Office under the Prevention of Money Laundering Act (PMLA) in the case linked to the misuse of the Prime Minister's Employment Generation Programme (PMEGP), a central-sector credit-linked subsidy scheme.

Source: IANS via The Freedom Press

The assets were in the possession of suppliers-cum-brokers and officials of J&K Bank allegedly involved in misusing PMEGP loans, the ED statement said. The agency's investigation began on the basis of two FIRs registered by the Anti-Corruption Bureau (ACB) of the CBI in Srinagar, alleging misappropriation of PMEGP loan amounts in criminal conspiracy with borrowers, officials of the Sumbal and Gamud Gadkhud branches of J&K Bank and other unknown persons. The CBI's ACB registered a fresh FIR in the matter in June 2026 as well, the statement said. These are allegations in an ongoing investigation; no court has decided the case.

Source: IANS via The Freedom Press

According to the ED, PMEGP loans were allegedly obtained by projecting dummy borrowers and using fake invoices of non-existent firms and companies, in conspiracy with bank officials and private persons acting as suppliers-cum-brokers. A survey conducted at the two J&K Bank branches under Section 16 of the PMLA found that 270 term loan accounts and 270 working capital accounts linked to the scheme had turned into non-performing assets, with the NPA amount found to be about Rs 32 crore, the statement said.

Source: IANS via The Freedom Press

The agency alleged that Hilal Ahmad Wani and others played a major role in fraudulently availing the loans: borrowers were allegedly induced to take loans, their KYC documents and other papers were used, and fake invoices were raised in the names of non-existent firms registered in the names of suppliers-cum-brokers or their family members, with the loans sanctioned in alleged conspiracy with J&K Bank officials. Kashmir-based outlets including KIMS and Kashmir Frontier also reported the attachment on Monday, with the same attached value and proceeds-of-crime figure.

Source: KIMS Kashmir

The ED said proceeds of crime of Rs 11.37 crore traced so far were diverted through multiple bank accounts, and part of the money was used for construction and renovation of assets held in family members' names and for personal enrichment. The 11 attached assets are held or controlled by suppliers-cum-brokers and one bank officer, and were attached under Section 5(1) of the PMLA to safeguard the value of the proceeds of crime, the agency said, adding that further investigation is underway.

Source: IANS via The Freedom Press