Rotomac owner Vikram Kothari flees India after taking Rs 800 crore loan

FPJ News ServiceUpdated: Thursday, May 30, 2019, 12:05 AM IST
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Kanpur: Just when the Nirav Modi jigsaw is falling in place, the parent company of Rotomac Pens has been accused of inflicting a ‘bad debt’ of more than Rs 800 crores on State-run banks. And if reports emanating from Kanpur are to be believed, he has ‘fled’ and the banks have no option but to attach his properties.

In the dock is the owner of the company, Vikram Kothari, who had taken this huge loan from five government banks. All these institutions — Allahabad Bank, Bank of India, Bank of Baroda, Indian Overseas Bank and Union Bank of India – went backwards to accommodate Kothari in what media sour-ces are claiming is another replay of the Nirad Modi scam.

Also Read: Who is Nirav Modi? All you need to know about PNB scam and the jewellery designer’s tryst with Bollywood

Kothari took a loan of Rs 485 crore from the Union Bank of India and another of Rs 352 crore from the Allahabad Bank. A year later, he has not paid back either the interest or the principal amount. Kothari’s office on Kanpur’s City Centre Road is locked for the past week. Kothari, too, has been untraceable ever since. Incidentally, he disappeared around the time the Modi scandal erupted. Yet again, the PSU banks are twiddling their thumbs and can only hope to recover a fraction of the amount lent by selling Kothari’s properties. But recovery of this kind is easier said than done.

Yet again, the warning signals were ignored. Last year, Bank of Baroda, a consortium partner, had declared Rotomac a “wilful defaulter”. The company had then moved the Allahabad High Court seeking removal of its name from the ‘blacklist’. Rotomac was declared a wilful defaulter vide an order dated February 27, 2017, passed by an authorised committee, as per the procedure laid down by the Reserve Bank of India. Input PTI

LIKHTE LIKHTE, SCAM HO JAYE

Vikram Kothari is the new scam darling. He started dabbling in the business of stationery, pens and greeting cards at the time there were no computers. The only competition was from Reynolds pens. Those were good times: Kothari was also honoured by former Prime Minister Atal Bihari Vajpayee with the Best Exporter award. The tag line then was, Likhte Likthe Love ho jaye? Now, it should be – Likhte Likhte scam ho jaye…

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