New Delhi, Oct 29 — 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 Central Bureau of Investigation (CBI) 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.
The accused allegedly perpetrated the fraud through fictitious sales and inflated stocks, suppression and non-recovery of export receivables, diversion of funds through unsecured advances, unauthorised routing of transactions through another bank, fabrication of debtor balances, and unauthorised sale or misrepresentation of mortgaged property and hypothecated assets resulting in wrongful loss to the bank, the CBI said.
On Thursday, searches were conducted at several locations in Mumbai, including the residential properties linked to the directors of Avaya Industries, said the statement.
During the searches, incriminating documents relevant to the investigation were recovered, the CBI said.
The seized materials are being examined to ascertain the full extent of the alleged conspiracy, misappropriation and diversion of funds, and to establish the role of all persons involved, it said.
In a separate case, 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 five banks.
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.