ED attaches Rs 188.41 crore worth assets in Maharashtra Cooperative fraud case

Mumbai (Maharashtra) [India], May 10 (ANI): The Enforcement Directorate (ED) has provisionally attached immovable and movable assets worth Rs 188.41 crore in a money laundering case linked to Dnyanradha Multistate Co-operative Credit Society Ltd (DMCSL).
The probe revealed that DMCSL management, led by Suresh Kute, allegedly defrauded over 4 lakh investors, diverting funds to Kute Group entities for personal benefits.
"Directorate of Enforcement (ED), Mumbai Zonal Office has provisionally attached immovable and movable assets valued at Rs 188.41 Crore (approx.) on May 9, 2025, in the case of M/s. Dnyanradha Multistate Co-operative Credit Society Ltd (DMCSL), Suresh Kute & others under the provisions of Prevention of Money Laundering Act (PMLA), 2002. The assets provisionally attached includes land, building, plant & machinery of various entities of Kute Group of companies situated in Beed district of Maharashtra," as per an ED release.

ED initiated an investigation based on various FIRS registered during May to July 2024 by various Police Stations of Maharashtra under various sections of IPC, 1860 and Section MPID Act, 1997 in respect of fraud committed with the investors by Suresh Kute and others through M/s. Dnyanradha Multistate Co-operative Credit Society Ltd (DMCSL).

"DMCSL was managed and controlled by Suresh Dnyanobarao Kute, Yashvant V Kulkarni and others. It floated various deposit schemes and claimed to provide interest, which varied from 12 per cent to 14 per cent. During the PMLA investigation, it was found that Suresh Kute & others lured more than 4 lakh gullible investors to deposit money with DMCSL by promising higher returns. However, no payment or only partial payments were made to the investors when the deposits matured, resulting in them being cheated," the release read.
ED investigation revealed that the funds of DMCSL were embezzled by the management of the society, wherein Suresh Kute and others hatched a criminal conspiracy to illegally and fraudulently divert funds amounting to Rs 2,467 crore approx, in the guise of loans to various companies of The Kute Group (a Group of companies beneficially owned by Suresh Kute and family).
"Upon the disbursement of these fraudulent loan amounts, the funds were siphoned off by them through several accounts of the entities of The Kute Group or directly in the form of cash. The funds received from society were further utilised for their benefits, such as investment in new businesses, purchasing property, and personal expenses," the release read.
ED conducted search operations in this case on August 9, 2024, August 20, 2024, and October 14, 2024. During these search operations, movable assets worth Rs 11 crore (approx) were frozen/seized. ED also issued Provisional Attachment Orders for assets worth Rs 85.88 crore on September 24, 2024, Rs 1,002.79 crore on October 9, 2024, and Rs 333.82 crore on November 5, 2024.
"Total value of seizure/freezing and attachment of assets in this case till date stands at Rs 1621.89 crore (approx). ED had earlier arrested Suresh Kute on January 7, 2025, who is currently in judicial custody. ED has filed a Prosecution Complaint before the Hon'ble Special PMLA Court, Mumbai on March 6, 2025, for which cognisance was taken on March 11, 2025," the release read.
Further investigation is under progress. (ANI)