The Enforcement Directorate on Thursday, November 30, searched six premises related to the Jammu and Kashmir Bank in connection with a ₹250 crore money laundering case, officials said in a statement.

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“Today Srinagar ED office is conducting search u/s 17 of PMLA in the money laundering case related to J&K (cooperative) Bank Fraud of more than ₹250 Cr in the name of fictitious Society namely River Jhelum Cooperative House Building Society,” the official statement said.

The statement added that a total of six premises have been covered including the then chairperson J&K (cooperative) Bank and trustees of society in Srinagar.

The fraud was in the name of a fictitious housing society, the River Jhelum Cooperative Housing Building Society, the officials added. The raids were conducted by the ED's office in Srinagar under Section 17 of the Prevention of Money Laundering Act (PMLA).

The shares of the lender fell close to 2% after the ED raid. The stock has gained 91% in 2023 so far.

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