NE BUSINESS BUREAU
NEW DELHI, JAN 7
The Central Bureau of Investigation (CBI) has registered an FIR against a Gujarat-based firm for defrauding Bank of India to the tune of Rs 631 crore, officials said.
The federal probe agency has named Electrotherm (India) Ltd, an Ahmedabad-based firm, its Director Mukesh Bhanwarlal Bhandari, Managing Directors Shailesh Bhanwarlal Bhandari, Avinash Prakashchandra Bhandari and Whole Time Director Narendra Babubhai Dalal as accused in the case along with unknown public servants.
According to the FIR, during the period 2012 to 2016, the directors of the borrower company were enjoying fund-based and non-fund-based credit facilities from the Bank of India. The Forensic Audit of the company (conducted by the bank) revealed that the company was allegedly involved in diversion and siphoning off funds through its associate companies which had common Directors.
“The company was also allegedly involved in transactions with suspicious dealers involved in issuing false bills without actual delivery of goods. It was also alleged that the company started facing liquidity problems and failed to pay the dues to the bank. Subsequently, the account was classified as Non Performing Assets (NPA) with an outstanding amount of Rs 631.97 crore (approx.), thereby, causing loss to the Bank of India,” said the CBI.
The CBI has also conducted searches at six locations in Gujarat’s Ahmedabad.
