Ashoka Co-Founders Step Down After Fraud Charges By CBI

Ashoka University co-founders Vineet Gupta and Pranav Gupta have stepped down from the boards and committees of the university, after they were named in a case involving alleged swindle of Rs 1,626 crore  by the Central Bureau of Investigation. The Gupta brothers face charges involving criminal conspiracy and forgery.

The Ashoka University has denied any link to the case, which involves the Chandigarh-based pharmaceutical company Parabolic Drugs promoted by the Guptas. The agency has accused the brothers of cheating the Central Bank of India and 11 other banks.

"In keeping with the high standards for governance at Ashoka, Vineet and Pranav Gupta have already voluntarily stepped down from all boards and committees of the university pending the CBI case and are cooperating fully with the investigation," the Ashoka University said in a statement, reported news agency Press Trust of India.

"The university has over 200 founders and donors who have made personal philanthropic contributions to Ashoka. Their individual business dealings and operations have no connection to the university," the Sonepat-based institution said, adding that any attempt to create a link with the Parabolic case is "frivolous and misleading".

Parabolic Drugs  -- which manufactures drugs and drugs intermediaries -- was set up in 1996.

In its First Information Report, the agency said the company has defaulted on repayment of loans since 2012.  There are also allegations that the company used forged documents to get the loans.

After raids in multiple locations linked to the Guptas across 11 cities last month, the CBI claimed it found incriminating documents, articles and Rs 1.58 crore in cash.