Indore (Madhya Pradesh): The Central Bureau of Investigation (CBI) has registered a case against city's businessman Umesh Shahra and his associates in connection with a fraud of Rs 188.35 crore with the banks.
A team of CBI on Thursday raided the house of Shahra. The team has seized important documents related to the case.
According to the information, the CBI team has conducted simultaneous raids in 6 cities including Indore, Mumbai and Bangalore. A team of CBI raided Ruchi Global Ltd’s corporate office in Indore and seized important documents. The raids were also conducted at residential premises of Shahra’s associates Saket Barodia and Ashutosh Mishra.
Following a complaint lodged by Bank of Baroda, CBI registered a case against the company's Mumbai office and its Indore office besides its directors on behalf of the consortium of lending banks. These allegations of bank fraud pertain to the period from January 1, 2016 to December 31, 2017.
A CBI official said that accused have been booked for causing damages to the lending banks by diversion of funds, speculation transactions, non-routing of sale proceeds in consortium bank accounts and transactions with related parties/sister concerns etc.