CBI registers a Case against Private Company for Bank Fraud of Rs. 63.71 Crore

The Central Bureau of Investigation(CBI) has launched an investigation following a complaint from IDBI Bank Ltd., NPA Management Group, Mumbai, against a private company, private individuals, and unknown others on allegations of causing a loss of Rs.63.71 crore (approximately) to IDBI Bank.

It was claimed that the borrower company and its Promoters conspired with others to defraud IDBI Bank through misappropriation of funds, criminal breach of trust, manipulation of books of accounts, and other means.

The borrower company was also accused of engaging in fraudulent sales/purchase transactions, overstating receivables and trade payables, resulting in higher drawing power, and submitting incorrect drawing power statements. IDBI Bank allegedly suffered a loss of Rs.63.71 crore (approx) plus expenses and uncharged interest.

Searches were conducted at Mumbai and Bhopal at the premises of accused which led to recovery of incriminating property documents, hard disks, locker keys, etc.

Further Investigation is going on.