Mumbai: CBI books firm for ₹405 Cr bank fraud

Mumbai:The Central Bureau of Investigation (CBI) has registered a case of criminal conspiracy, cheating and criminal misconduct against a company engaged in manufacturing and export of diamond-studded gold and silver jewellery at Andheri and its directors for allegedly causing loss of Rs405.58 crore to the State Bank of India (SBI). 

CBI officials claimed that the fraud had taken place at e-State Bank of Patiala (since merged with SBI) and SBI’s Nariman Point Branch, from where the accused persons availed loan facility, illegally diverted the funds with an intention to defraud the bank.

Those booked include:

Those booked are Yash Jewellery Pvt Ltd, Pramod Goenka, RA Tata, AL Prabhudesai and other unknown persons.

“Chief promoter/director of the company, Pramod Goenka, is reported to be missing since 2018. A missing complaint has been filed by his son and newspaper publications were made to this effect. There are no further updates on the matter,” the CBI said in its FIR.

Goenka reportedly went missing in Maputo, Mozambique. In February this year, FPJ had reported that Pramod’s brother, Vinod Goenka, had decided to call on Police Commissioner Vivek Phansalkar to inquire about his whereabouts.

Complaint from SBI officer

According to the CBI, a complaint dated April 12 was received from SBI Deputy General Manager Prakash Bharti, alleging that the borrower company, its directors, unknown public servants and other private persons had entered into a criminal conspiracy to cheat the SBI. In pursuance of the criminal conspiracy, the accused induced the bank to sanction loans and siphoned off and defrauded a significant portion of the amount, thereby causing a wrongful loss of Rs 405.58 crore. 

The loan account of the borrower company was classified as NPA on March 30, 2014, and the account was reported as fraud to the Reserve Bank of India on May 15, 2019.

The fraud perpetrated by the accused persons came to light after a forensic audit was conducted for the period from March 31, 2011, to March 31, 2014.

The forensic audit was ordered by the SBI on its own. 

“Assets supposed to be purchased out of bank’s finance were not purchased and the funds borrowed from the bank were mis-utilised, misappropriated for the purposes other than for which the bank had released the funds. The actions of the company and its directors have been committed with a dishonest intention to have wrongful gain and to cause wrongful loss to the bank and constitute criminal offence punishable under Indian Penal Code and other relevant laws,” an official said.