Pvt firm, directors booked in Rs169 cr bank fraud

Somendra SharmaUpdated: Wednesday, December 14, 2022, 02:46 AM IST
article-image
Representative Image | File

Mumbai: The CBI has registered a criminal offence against an Andheri-based firm and its directors for allegedly defrauding State Bank of India to the tune of Rs169 crore. In its FIR, the agency has alleged that the accused colluded and committed illegal activities, including forgery by manipulation and submission of fake financial statement, fabrication of fictitious transactions and diversion of funds, for purposes other than for the purpose for which the funds were released by the bank. The borrower company is in the business of design and manufacture of space frame structures.


The CBI said a written complaint was given on Nov 29 by Suresh Chandra Desh, DGM of SBI, alleging commission of offences by the company. As per the FIR, the company was granted credit facilities by the bank. The fraud took place at SBI, SME Backbay Reclamation Branch between April 2010 and March 2015 from where the accused persons have illegally diverted the funds, manipulated books of accounts with an objective to defraud the Bank and to gain unlawfully at the cost of the Bank's funds. The fraud perpetrated by the accused persons came to light when a forensic audit was conducted.

The account of the said company was classified as fraud by the Fraud Identification Committee, SBI and the account was declared NPA. As per the FIR, the estimated wrongful loss to SBI by the accused is Rs 169 crore (including notional interest). The CBI has registered a case under sections 120B (criminal conspiracy), 420 (cheating and dishonestly inducing delivery of property) of the Indian Penal Code and relevant sections of the Prevention of Corruption Act.

(If you have a story in and around Mumbai, you have our ears, be a citizen journalist and send us your story here. )

(To receive our E-paper on WhatsApp daily, please click here.  To receive it on Telegram, please click here. We permit sharing of the paper's PDF on WhatsApp and other social media platforms.)

RECENT STORIES

Mumbai: Hindu outfits join hands for rally against ‘love-land jihad’

Mumbai: Hindu outfits join hands for rally against ‘love-land jihad’

Mumbai: Know how BMC’s zero-garbage action plan 'goes to waste'

Mumbai: Know how BMC’s zero-garbage action plan 'goes to waste'

Mumbai: Student gains nothing from English course, gets ₹ 10,000 relief

Mumbai: Student gains nothing from English course, gets ₹ 10,000 relief

Mumbai: BMC budget nearing, senior citizen group submits charter of demands

Mumbai: BMC budget nearing, senior citizen group submits charter of demands

Mumbai: Musical extravaganza Lollapalooza comes to city, the first concert in Asia

Mumbai: Musical extravaganza Lollapalooza comes to city, the first concert in Asia