The bank alleged that the fraud came to light in a forensic audit. (Representational)
The Central Bureau of Investigation (CBI) has booked Mumbai-based Unity Infraprojects Ltd, its then CMD Kishore Krishnarao Avarsekar and others for allegedly defrauding a consortium of banks to the tune of Rs 3,847.58 crore, officials said on Monday.
The CBI took action on a complaint of the SBI, one of the consortium members which alleged that the fraud took place at its Commercial Branch in Mumbai where the accused persons siphoned the "Bank's funds by doing fictitious transactions, manipulated and fudged books of accounts with an objective to defraud and cheat the bank and to gain unlawfully at the cost of the Banks' funds".
The account of the 44-year old infrastructure company, which had taken Rs 3,800 crore from 23 lenders against moveable and non-moveable assets besides personal and corporate guarantees, had become a non performing asset on June 24, 2014. Five years later it was declared a fraud after forensic audit pointed irregularities.
The bank alleged that the fraud came to light in a forensic audit conducted by BDO India LLP, which submitted its report on September 25, 2019.
The report found fictitious transactions, improper adjustment entries passed to accommodate fictitious accounting entries to defraud the bank by fudging the data, diversion of funds through non-consortium accounts among others.
It also cited unexplained excess pay-outs with intentions to siphon off bank funds and related party transactions to divert borrowed fund.
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