Mumbai: The Central Bureau of Investigation (CBI) on Monday registered a case against a city-based private company for allegedly cheating State Bank of India (SBI) through diversion of funds.
“The CBI has registered a case on a complaint from SBI against a Mumbai based private company and others including its chairman and director,” said a CBI spokesperson.
The agency stated that the private company– Ess Dee Aluminium Limited (EDAL), Kandivali– is into manufacturing aluminium foils having its applications as packaging material used in the pharmaceutical, food and FMCG sectors. “It was further alleged that the accused and other unknown persons had entered into conspiracy and submitted fake documents. It was also alleged that the accused were involved in diversion of funds etc. and cheated the SBI. An alleged loss to the tune of Rs. 338.52 crore (approximately) was caused to SBI,” said the officer. Diversion of funds refers to misappropriation where the money is used for purposes other than for which it is given.
“Searches were conducted at the premises of the accused/company in Mumbai which led to recovery of incriminating documents. Investigation is continuing,” said the officer.
This is the second recent case in which the agency has booked a Mumbai based private firm for cheating a bank. To recall, the CBI last week registered a case against M/s Spanco Ltd and its officials based on a complaint from the Central Bank of India for causing an alleged loss of Rs 103.27 crore to the bank. The accused entered into a conspiracy with each other and diverted the loan amount to its group company and further transferred to personal accounts of promoter and family members, alleged the agency.