Shell firm owner cheats bank with fake import bills

The ED officials who carried out raids at eight shell companies in the city, zeroed in on K Liyakath Ali (36), who had cheated Indian Bank, Thousand Lights Branch, and remitted Rs 78 crore using forged ‘Bills of Entry’ without effecting any actual imports. 

Alerted by the Indian bank authorities, the Chennai Customs carried out a preliminary investigation and confirmed fabrication of Bills of Entry and referred the matter to the Enforcement Directorate. The ED conducted the investigation and the Central Crime Branch of city police had also registered an FIR. 

During investigation, ED identified Liyakath Ali and his brother Eliyas Peer Muhammed, who conspired and operated eight firms under the names — Galaxy Impex, Green International, Snow City & Co etc. They operated fictitious bank accounts with various banks. Investigators also recovered multiple PAN cards and driving licences that carried slightly modified names of the accused and were used for opening the accounts.