New Delhi, Oct 17 : The Enforcement Directorate (ED) on Tuesday conducted search operations at five different locations in Bengaluru in connection with a bank fraud case involving Opto Circuits India Ltd and associated individuals. These actions were carried out under the provisions of the Prevention of Money Laundering Act. According to officials, the ED initiated investigation on the basis of FIR registered by the CBI under various sections of IPC, against Opto Circuits India Ltd and its promoters/directors for misappropriation and diversion of loan from a consortium of eight banks which has outstanding liabilities to the tune of Rs. 883.03 crore. The investigation conducted by the financial probe agency revealed that the promoters and directors of Opto Circuits India Ltd engaged in the forgery and manipulation of the company's financial records to secure loans from banks. "Subsequently, these loan funds were redirected into investments within India and abroad through subsidiary companies," the ED said in a statement on Tuesday. Furthermore, the directors and promoters of Opto Circuits India Ltd manipulated the company's financial statements by inflating the balance sheet with substantial trade receivables, which lacked the necessary creditworthiness of the buyers to support them. "This scheme enabled Opto Circuits India Ltd to siphon and divert bank loan facilities, resulting in significant financial losses for the banks," it said. "In the course of the search operations, incriminating documents related to the acquisition of both movable and immovable assets, fund diversions to foreign-based subsidiaries, as well as records and foreign currency/financial instruments were discovered and confiscated," it added. /IANS