New Delhi, Oct 29 — The CBI registered a case on the complaint of Indian Bank, Stressed Asset Management Branch, against Chandra Proteco Limited and its officials in a Rs 210 crore fraud with six banks and conducted searches in Prayagraj in Uttar Pradesh, an official said on Thursday.
The CBI booked the company’s directors Ranjeet Gupta, Anilesh Gupta and Aparna Gupta, along with unknown public servants and unknown persons, for offences of criminal conspiracy for cheating and also the offences under the Prevention of Corruption Act, said a statement.
The complaint alleged that the accused persons entered into a criminal conspiracy, obtained Cash Credit facility, Term Loan and Letters of Credit amounting to Rs.541.46 crore from a consortium of six banks led by the Indian bank.
The company was engaged in systematic financial manipulations including operating clandestine accounts with non-consortium banks, devolving letters of credit through entities sharing common Directors/sister concerns, the CBI said.
The company defrauded the banks by not utilising the bank funds for the intended purpose, for which it was sanctioned. Further, the company diverted the funds by siphoning them off through associate companies and caused loss to the bank, the CBI said.
Following registration of the case, the CBI conducted searches at multiple premises linked to the directors of CPL in Prayagraj, Uttar Pradesh.
During the searches, ledgers of the relevant period and other incriminating documents relevant to the investigation were recovered and seized, the CBI said.
Investigation is continuing to ascertain the full extent of the conspiracy, identify the role of all involved persons, including public servants and private individuals, and trace the end-use of the loan funds, said the Central probe agency.
In a separate case, the CBI on Thursday conducted search operations at several locations in Mumbai in connection with a Rs 58 crore bank fraud by a Mumbai-based company and seized incriminating documents, an official said.
The probe agency registered the instant case based on the complaint of State Bank of India, Mumbai against Avaya Industries, its directors and unknown public servant(s) and private person(s).
It is alleged in the complaint that Avaya Industries and its directors fraudulently obtained credit facilities by misrepresentation, causing a wrongful loss of Rs 58.48 crore to the bank, the CBI said in a statement.