The Central Bureau of Investigation (CBI) on Thursday conducted searches in connection with a case against a Bulandshahr-based private firm in Uttar Pradesh and others for alleged bank fraud of ₹424.07 crore.
“The searches were carried out in Bulandshahr and Delhi. Santosh Overseas Limited, its director Sunil Mittal and unknown public servants have been accused of cheating an IDBI Bank-led consortium of seven banks,” said a CBI official.
It is alleged that the company availed itself of packing credit from the banks on the basis of fake purchase order from an associated concern. It was maintaining current accounts with non-consortium banks and sale proceeds were routed through those accounts without the knowledge of consortium members.
Heavy transactions were made with related parties which did not have TIN registration, according to the FIR.
