The Central Bureau of Investigation (CBI) has conducted searches on Wednesday, at 8 locations in Kolkata, West Bengal, in connection with three separate cases registered against Tantia Construction Ltd., Brahm Alloys Ltd. and Amrit Feeds Ltd.
According to the release, in the Tantia Construction Ltd. case, the searches were conducted at the residential premises of the Directors of the Company. The searches have resulted in the seizure of incriminating documents, and the investigation is continuing.
The case pertains to defrauding Punjab National Bank (PNB) to the tune of Rs.73 crore in the matter related to Cash Credit and Term Loan facilities availed from the Bank. The accused resorted to fraudulent means to divert the funds availed from the bank by various means, like financing long-term capital requirements of its subsidiaries or associate concerns, routing substantial amounts through non-standard accounts.
In Brahm Alloys Ltd., the searches were conducted at the residential premises of the Directors of the Company. The searches have resulted in the seizure of incriminating documents, and the investigation is continuing. The case pertains to defrauding Punjab National Bank (PNB) to the tune of Rs.58 crore in the matter related to the Cash Credit facility availed from the Bank.
The accused resorted to diversion of funds by way of investment in equity of its group concern, maintaining current accounts with other banks, manipulation of books of account, etc.
In the Amrit Feeds Ltd. case, the searches were conducted at the residential premises of the Directors of the Company. The searches have resulted in the seizure of incriminating documents, and the investigation is continuing. The case pertains to defrauding Punjab National Bank (PNB) to the tune of Rs.60 crore in the matter related to Cash Credit and Term Loan facilities availed from the Bank.
The accused resorted to fraudulent misappropriation and siphoning of the bank's funds given to them for running the business. They have converted the public money to their own use dishonestly and diverted the funds of the company for the benefit of its associate & sister concern companies. The company sold its tangible assets without the consent of lenders.
The total quantum of wrongful loss caused to the PNB in these three cases is Rs 191 Crore.
