In what would be considered as the most embarrasing moment for the Union Minister Mr VK Singh, ED attached property worth Rs.21 Crore of SP Singh who is considered as a close aide. The action was taken as there was a possible suspicion of money laundering.
The bank fraud came into light when several shell company accounts were opened and the loan obtained from PNB were diverted to various Syndivate Bank accounts, most of which were opened at Nehru Place. All these 13 companies which came under the scanner were being operated by SP Singh and his employees, claimed ED and the loan amount was used for the personal gains of Mr SP Singh and not for the purpose it was given.
The case was connected with supplying high altitude tents worth Rs.22 crore ti RAW during 2009-13.