The Enforcement Directorate (ED) has taken action in relation to an alleged bank fraud connected to the former promoters of Kwality Ltd. The ED has confiscated Rs 1.3 crore in cash and frozen luxury cars and demat accounts worth around Rs 6.5 crore. The investigation by the agency revealed that the accused manipulated financial records to inflate sales and debtors, resulting in significant financial misconduct.

Raids were conducted at 15 locations in Delhi-NCR, targeting key individuals associated with the now-defunct dairy company, including former promoters Sanjay Dhingra and Siddhant Gupta, as well as several shell companies linked to them. The ED's actions are based on a CBI FIR filed in September 2020, which accused the company of falsifying accounts and misrepresenting financial data, ultimately defrauding a consortium of banks.

A consortium of banks was defrauded by Kwality Ltd. through the manipulation of financial records. The ED's investigation has led to the confiscation of cash, luxury cars, and frozen demat accounts. Raids were conducted at multiple locations, targeting individuals associated with the company and related shell companies. The actions taken by the ED are based on a CBI FIR filed in September 2020, which alleged that Kwality Ltd. falsified accounts and misrepresented financial data.