CBI raids ten locations in bank fraud case

CBI raids ten locations in bank fraud case

New Delhi (IANS): The Central Bureau of Investigation (CBI) on Monday said that they registered two separate cases of bank loan fraud of Rs 2,148 crore and conducted raids at 10 locations across the nation in this connection. The first case was lodged on the complaint filed by the State Bank of India against Ushdev International Ltd, a Mumbai-based private firm and its Director-cum-Guarantor Suman Vijay Gupta, Prateek Vijay Gupta and unknown public servants on the allegations of causing loss of Rs 1,438.45 crore to the consortium member banks.

Ushdev International Ltd engaged in trading of ferrous and non-ferrous metals and its Promoter, Directors along with unknown entities had caused loss to SBI and consortium member banks allegedly by siphoning off funds, showing sales to overseas dormant entities, manipulating books of accounts, etc.

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The accused misappropriated bank funds by giving advances to the entities which had not carried out business during the last 5-9 years and provided loans and advances to its related parties. The accused thus violated the sanction terms and conditions.

“An alleged loss of Rs 1438.45 crore was caused to the SBI and four other consortium member banks. Searches were conducted at three places at the premises of the accused at Mumbai and Pune (Maharashtra) which led to the recovery of incriminating documents/articles,” said the CBI official.

The second case was registered against a private firm namely M/s Anil Ltd and its six Directors, Amol Shripal Sheth, Kamalbhai R Sheth, Anish Kasturbhai Shah, Indira J Parikh Dipal Palkhiwala, Anurag Kothawala and Shashin A. Desai. The firm is based at Ahmedabad. Bank of India filed an FIR against them for allegedly causing a loss of Rs 710.85 crore to a consortium of banks.

It was stated that M/s Anil Ltd was engaged in the business of production of entire range of unmodified and modified starch from basic maize starch and downstream products like Liquid Glucose, Dextrose Monohydrate, Anhydrous Dextrose, Sorbitol etc.

M/s Anil Ltd had lent funds to related parties and others without approval of consortium banks with an intent to siphon-off the funds and deliberately entered into non-genuine transactions with its related parties to renew its credit facilities from the lender banks.

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The accused had misappropriated the value of closing stock as well as fixed assets and thus cheated the banks.

"Searches were conducted at seven locations including at Ahmedabad and Pune at the premises of the accused which led to the recovery of several incriminating documents, articles, some property documents and Rs 38 lakh," said the official. Investigation in both the cases is on.