CBI registers a case against private company on the allegations of Bank fraud of RS 428.50 crores

The Central Bureau of Investigation has registered a case on complaint from Canara Bank against a private Company & others including its Directors and unknown public servants/unknown others for causing an alleged loss of Rs.428.50 crore (approx) to Canara Bank.

It has been alleged in the complaint that the accused during the period 2009 to 2016 entered a conspiracy to cheat Canara Bank and in pursuance of the same, approached the bank for sanction of various credit facilities & misrepresented the books of accounts, misutilised the funds of the bank and diverted receivables from its debtors. It was further alleged that the loan amount received from the bank for various projects was utilized for purposes other than for which it was availed. An alleged loss of Rs 428.50 crore (approx) was caused to Canara Bank.

Searches were conducted today at 7 locations including in Mumbai, Kutch (Gujarat) at the premises of the accused which led to recovery of incriminating documents /articles. Investigation is continued.