The CBI on Saturday carried out a raid at properties belonging to Punjab AAP MLA Jaswant Singh Gajjan Majra in an over Rs 40 crore alleged bank fraud case. The searches were conducted at three locations in Sangrur district, including in Maler Kotla area, the ancestral house of the Amargarh MLA.

The probe agency carried out the raids after an FIR was filed in the alleged loan fraud of Rs 40.92-crore in Bank of India, Ludhiana.

During the raid, the CBI recovered 94 signed blank cheques carrying signatures of different persons, sand several Aadhaar cards, sources said, news agency PTI reported.

“Cash worth Rs 16.57 lakh (approx), around 88 foreign currency notes, some property documents, several bank accounts and other incriminating documents were found and recovered during searches,” CBI Spokesperson RC Joshi said.

The case was registered against Singh, Tara Corporation Ltd (renamed as Malaudh Agro Ltd.) based at Gaunspura, Tehsil- Malerkotla (Punjab), and others. The AAP MLA was a director and guarantor in the company.

Singh’s brothers Balwant Singh and Kulwant Singh and nephew Tejinder Singh, all directors and guarantors, have also been named as accused in the FIR, sources said. Tara Health Foods Ltd, another company, has also been booked.

“The borrower firm was sanctioned loans at 4 intervals from 2011-2014 by the Bank. It was further alleged that the firm through its Directors had concealed hypothecated stock and diverted book debts with malafide and dishonest intention so that the same were not made available to the creditor Bank for inspection and for effecting recovery as secured creditor. An alleged loss of Rs. 40.92 Crore(approx) was caused to Bank,” Joshi said.

The CBI spokesperson also said that the loan availed by the accused was allegedly not used for the purpose for which it was availed.