Hyderabad, Nov 25 (LatestNewsX) – A Hyderabad city court has handed down a five‑year rigorous imprisonment sentence to the owner of a bar and restaurant in a money‑laundering case linked to a bank fraud.
The Metropolitan Sessions Judge convicted L. Srinivas Goud on the grounds of money laundering under the Prevention of Money Laundering Act, 2002, and imposed the five‑year term in connection with the bank‑fraud case. A court notice also imposed a fine of ₹25,000 on both Goud and his business, Mallika Inn Bar and Restaurant.
The judgment cited sections 3 and 4 of the PMLA to find Goud guilty of laundering proceeds. Hyderabad’s Enforcement Directorate (ED) had filed a prosecution after completing its investigation into a cheating case wherein the owner illegally obtained a loan by forging documents and impersonating his mother. The loan papers were fabricated, including a false title deed and a forged signature, and were presented as a housing loan for restaurant and bar renovation.
The funds were ultimately diverted for other uses, generating criminal proceeds and causing the bank a loss of ₹44.80 lakh, according to the ED. During the trial, witnesses were examined and the department’s case was presented, but Goud repeatedly avoided appearing before the court. Consequently, the court issued several non‑bailable warrants.
Despite multiple attempts, authorities could not locate him at his known address; it later emerged that he had moved. Using a combination of electronic and human intelligence, a new location was pinpointed and verified against court records. One week of surveillance confirmed his presence at the new address.
On October 27, the police apprehended him at the premises, after which he was presented before the court. He was remanded to judicial custody, with the detention extended over time. All of his subsequent bail petitions were denied, as the court viewed his prior conduct as a risk factor and found him unfit for release.
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