ED attaches ₹51.24 lakh in environmental pollution case

The Directorate of Enforcement (ED), Hyderabad Zonal Office, has provisionally attached ₹51.24 lakh held in the bank account of M/s GTN Engineering (India) Ltd. The action is linked to a case of environmental and water pollution.

The investigation was initiated based on a prosecution complaint filed by the Telangana State Pollution Control Board (TSPCB) before the Additional Judicial First-Class Magistrate in Sangareddy.

The complaint accused M/s GTN Engineering (India) Ltd. (formerly M/s Perfect Knitters Ltd.) of violating Sections 24 and 43 of the Water (Prevention and Control of Pollution) Act, 1974, and Section 19 of the Environment (Protection) Act, 1986. The company allegedly disregarded mandatory TSPCB guidelines, leading to continuous water and air pollution in the surrounding areas.

The ED’s investigation revealed that GTN Engineering (India) Ltd. failed to operate its Effluent Treatment Plant (ETP) regularly, thereby avoiding an expenditure of approximately ₹51.24 lakh. This amount represents the financial benefit gained by the company by neglecting effluent treatment, which resulted in violations of environmental laws. While the company later spent ₹23.83 lakh on disposing of liquid and solid waste after the plant’s closure, irreversible ecological damage had already taken place.

By failing to treat hazardous waste as per regulations, the company endangered public health and the environment, generating proceeds of crime amounting to ₹51.24 lakh. These funds were subsequently intermingled with its business operations.

As a result, the ED has provisionally attached ₹51.24 lakh from the company’s bank accounts under PMLA provisions. Further investigations are on.