CBI files case against private company for allegedly duping PNB-led group for Rs 221 crore

The Central Bureau of Investigation (CBI) has registered a case against a private company and others on a complaint by Punjab National Bank for allegedly duping a group of banks for nearly Rs 221 crores.

"The CBI has registered a case against a New Delhi/Aligarh based private company and others including directors/nominee directors of the company and unknown public servants and private persons on a complaint from Punjab National Bank, on the allegations of defrauding a consortium of PNB, Dena Bank (now Bank of Baroda), Central Bank of India and Indian Bank, to the tune of Rs 221.72 crore approximately," an official release said.

As per the complaint, the private borrower company which engaged in export of meat and its products was sanctioned credit facilities of approximately Rs 200 crore in the form of pre-shipment and post-shipment facilities by a consortium of banks in January 2011. Later during March to September 2015, the banks enhanced the facility to Rs. 357.61

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The credit facilities were to be utilized for making 100% export but the company allegedly used it to fund the domestic sales. It was also alleged that the borrower company transferred the funds to various related companies without any underlying business activities.

The CBI conducted a raid at five locations on Thursday, including official and residential premises of the accused in New Delhi and Aligarh, from where the incriminating documents were recovered.

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(With inputs from agency)

(Image credits: PTI)