CBI REGISTERS A CASE AGAINST A PRIVATE COMPANY & OTHERS INCLUDING ITS DIRECTORS IN AN ALLEGED BANK FRAUD, AND CONDUCTS SEARCHES


 

Press Release
New Delhi, 27.08.2020

The Central Bureau of Investigation has registered a case against a New Delhi / Aligarh based private company & others including Directors/Nominee Directors of said company and unknown Public Servants & private persons on a complaint from Punjab National Bank, on the allegations of defrauding a consortium of PNB, Dena Bank (now Bank of Baroda), Central Bank of India & Indian Bank, to the tune of Rs.221.72 crore(approx).

It was alleged that the said private company (Borrower), engaged in export of meat & its products was sanctioned credit facilities (in the form of pre-shipment and post-shipment facilities) of Rs. 200 crore(approx) under the said consortium of banks in January 2011 which were then enhanced to Rs. 357.61 crore(approx) during March to September 2015 by these banks. It was further alleged inter alia that the credit facilities were required to be used for making 100% export, but the company utilized export credit facility in order to fund the domestic sales. It was also alleged that the borrower company transferred the funds to various related companies without any underlying business activities.

Searches were conducted today at 5 locations including official & residential premises of the accused in New Delhi, Aligarh which led to recovery of incriminating documents.

Investigation is continuing.

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