This Article is From Dec 24, 2020

CBI Carries Out Searches In Gujarat In Rs 121 Crore Bank Fraud Case

The agency has charged the company and its directors on a complaint from Canara Bank which is the lead bank in the consortium of four banks, officials said.

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CBI conducted searches at five locations including official and residential premises (Representational)

New Delhi:

The CBI carried out searches at five locations in Surat and Navsari in Gujarat on Thursday after booking Surya Exim Ltd and its directors for alleged bank fraud of Rs 121 crore during 2017-19, officials said.

The agency has charged the company and its directors on a complaint from Canara Bank which is the lead bank in the consortium of four banks, they said.

"It was alleged that, during the period 2017 to 2019, the accused entered into a conspiracy to cheat a consortium of banks including Canara Bank to the tune of Rs 121.05 crore (approx) by way of forgery and diversion of funds," CBI spokesperson RK Gaur said.

He said the company was allegedly enjoying credit facilities from the consortium but maintained accounts in private banks without obtaining a no-objection certificate from the consortium member banks and used those accounts to syphon off funds.

"The account became NPA (non-performing asset), thereby causing an alleged loss of Rs 121.05 crore (approx) to the consortium," he said.

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The agency conducted searches at five locations including official and residential premises of the accused in Surat and Navsari in Gujarat on Thursday, which led to the recovery of incriminating documents/articles, he said.

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