The Enforcement Directorate (ED) conducted raids at three locations in Kerala on August 28, uncovering evidence of a massive financial fraud involving a Kannur-based businessman, Ismail Chakkarath. The investigation, conducted under the Prevention of Money Laundering Act (PMLA), revealed that Chakkarath had allegedly duped United Bank Limited in Doha, Qatar, of over ₹61 crore.
According to reports, Chakkarath had obtained a loan of QAR 30,643,204 (approximately ₹ 61.28 crore) from United Bank Limited, claiming it was for the expansion of his Doha-based firm, Grant Mart Trading. However, investigators discovered that he had neither repaid the loan nor used it for its intended purpose.
During the raids, the ED’s Kozhikode Sub-Zonal Office seized ₹3.50 lakh in cash and crucial documents linking Chakkarath to the international scam. The investigation revealed a complex web of financial malpractice, with Chakkarath allegedly diverting the loan amount to investments in Wayanad, Kerala, using benami transactions to conceal his involvement.
Sources close to the investigation claim that one transaction involving ₹2.02 crore for an immovable property purchase fell through, but the seller reportedly retained the funds. The ED has frozen 10 bank accounts linked to Chakkarath and his associates, where portions of their illicit gains were traced.
The investigation is ongoing, and authorities are scrutinizing Chakkarath’s extensive network to uncover the full scope of his alleged financial crimes. This case highlights the growing challenges of cross-border financial fraud and underscores the need for enhanced international cooperation in combating such sophisticated schemes.
