Total value of assets under the latest attachment order is Rs 109.8 crore, Enforcement Directorate said.

The Enforcement Directorate Tuesday said it has attached assets worth Rs 110 crore of Simbhaoli Sugars Limited, one of India''s largest sugar mills, in connection with a money laundering probe against the firm related to an alleged bank loan fraud.

The agency said a provisional order was issued under the Prevention of Money Laundering Act (PMLA), for attachment of properties like land, buildings, plant and machinery of the distillery unit of the company located in Simbhaoli, Hapur in Uttar Pradesh.

The total value of assets under the latest attachment order is Rs 109.8 crore, the Enforcement Directorate said in a statement.

A PMLA case was filed against the firm by the agency last year after taking cognisance of a CBI FIR against Simbhaoli Sugars Ltd and others for "cheating and defrauding Oriental Bank of Commerce on the pretext of financing the sugarcane farmers."

"According to the CBI FIR, the company was given a loan of Rs 148.59 crore by the bank for providing assistance to 5,762 farmers but the funds were diverted by the company for other purposes," it said.

Investigation revealed that the company diverted the loan funds by routing into various other accounts and finally using it towards repayment of outstanding loans including external commercial borrowings, operational expenses of the company and payment of cane arrears which should have been paid from the sales and revenue of the company.

"The company, thus, laundered the funds intended for assistance to the needy farmers, in utter violation of the terms and conditions and the intent of the loan," it said.