ED BENGALURU ZONAL OFFICE FILED A PROSECUTION COMPLAINT

Face2News/Bangaluru

On 31/7/2026 before the Hon’ble Principal City Civil and Sessions Judge, Bengaluru against (i) M/s Deepak Cable (India) Limited(M/s DCIL), (ii) K. Venkateshwara Rao, Ex-Managing Director, M/s DCIL (iii) Smt. Satyavathy Balla, Ex-Director, M/s DCIL (iv) M/s Surya Transmission Ltd. (v) M/s Adhunik Power Transmission Ltd. (vi) M/s Amrutha Constructions Pvt. Ltd.(ACPL) (vii) P.  Venkateshwara Rao, MD, M/s ACPL (viii) M/s KGN Electricals (ix) Mr. Mohamed Idress, Partner, M/s KGN Electricals (x) M/s Sharavathy Conductors Pvt. Ltd.(SCPL) and (xi) Kaardam Patel, MD, M/s SCPL.

The said accused persons, by committing criminal activity relating to the scheduled offence had directly/indirectly involved in generation of Proceeds of Crime (POC) and have directly/indirectly indulged in the process or activity connected with POC including its possession, acquisition and projecting or claiming it as untainted property and are guilty of the offence of money laundering.
ED initiated the money laundering investigation on the basis of FIR registered by CBI, BS & FB,
Bengaluru under various Sections of the Indian Penal Code (IPC), 1860 and the Prevention of Corruption Act, 1988, on the basis of a written complaint filed by the Deputy General Manager, State Bank of India (SBI), SAMB, Bengaluru, alleging that M/s DCIL, along with its Managing Director K. Venkateshwara Rao and other Directors, had caused wrongful loss of Rs. 899.35 Crore (including notional interest and legal expenses) to SBI.

Further, investigation revealed that PNB Bank also filed a complaint with CBI, BS & FB, Bengaluru
and accordingly, CBI, BS & FB registered an FIR dated 14.12.2022 against M/s DCIL & its promoters for offence of fraud by siphoning and diversion of funds, criminal misappropriation, criminal breach of trust, cheating, etc. causing wrongful gain to themselves and wrongful loss of public money to the complainant bank to the tune of Rs.147.93 Crore. Accordingly, Addendum of the said FIR was made in the said ECIR.
Investigation by ED revealed that M/s DCIL, engaged in the manufacture of Aluminium conductors,
transmission/distribution of power, availed and enhanced credit facilities from the consortium of banks by
submitting inflated records/financials of the company. The company got engaged in fictitious sale/purchase
transactions with related entities including M/s Surya Transmission Ltd., M/s Adhunik Power Transmission Ltd. and unrelated entities including M/s ACPL, M/s KGN Electricals and M/s SCPL., without any corresponding movement of goods. The POC generated was diverted into the personal accounts of promoters/directors, into the accounts of related companies and utilized for purchasing various immovable properties, buy-back of equity shares held by private equity investors M/s IDFC Limited and M/s Ascent India Funds.

During the course of investigation, K. Venkateshwara Rao was arrested on 02.06.2026 under the
provisions of PMLA, 2002 and is presently in judicial custody. POC amounting to Rs. 51.28 Crore (approx.) comprising immovable properties held in the names of the accused persons, have been provisionally attached by ED vide Provisional Attachment Order dated 30.07.2026. The said Provisional Attachment Order is pending confirmation before the Hon’ble Adjudicating Authority (PMLA), New Delhi. Further investigation is under progress.