The Central Bureau of Investigation conducted searches at six places in Hyderabad, Nandyal and Kurnool, in connection with two cheating cases registered against Nandi Grain Derivatives Pvt. Ltd., SPY Agro Industries Ltd and their directors and unknown public servants and private persons for cheating Bank of Baroda and Union Bank of India to the tune of ₹70 crore.
The searches led to the recovery of several incriminating documents, officials said.
According to CBI officials, the bank alleged that those Nandi Grain Derivatives represented by its directors entered into a conspiracy with others and availed loans from its Banjara Hills Branch, and later diverted the loan funds for other than the purpose for which the loan was given and also for personal gains.
They also submitted false stock statements to banks for concealing their irregularities, falsified their books of accounts and wilfully defaulted in repayments. An alleged loss to the tune of ₹61.86 crore (approx) was caused to bank.
Another case was registered against six persons, including, Undavalli Raja Gopal and Boppudi Seshagiri Rao of Prithviram Infra, Hyderabad, Naveha Enviro Engineers and Consultants, Hyderabad, Lorven Green Energy Projects Private Ltd., Hyderabad, Chandra Prakash and unknown others.
It was alleged that the company had availed secured overdraft facility of ₹4 crore and LC of ₹2 crore with a total limit of ₹6 crore on October 26, 2016, for business purposes from Union Bank of India (earlier Andhra Bank), Defence Colony branch.
It was further alleged that after availing of the loan, the company committed default in repayment of the loan in violation of the terms of the loan agreement and the account slipped into Non-Performing Assets (NPA) on November 30, 2018. Bank declared the account as a fraud on September 30, 2019, and reported it to RBI on October 19, 2019.
“It was also alleged that the borrowers had diverted and misappropriated the borrowed funds and also mortgaged disputed, unidentified property. An alleged loss of ₹8.15 crore was caused to the bank,” the CBI officials said.
