CBI books private company for causing alleged loss of Rs 428 crore to Canara Bank
New Delhi, September 15, 2022
The Central Bureau of Investigation (CBI) today said it had registered a case on a complaint from the public sector Canara Bank against a private company and others, including its directors and unknown public servants/unknown others, for causing an alleged loss of approximately Rs. 428.50 crore to it.
The complaint alleged that the accused had, between 2009 and 2016, entered into a conspiracy to cheat Canara Bank, in pursuance of which they had approached the bank for sanction of various credit facilities.
A press release from CBI said the accused had misrepresented the books of accounts, misutilised the funds of the bank and diverted receivables from its debtors.
"It was further alleged that the loan amount received from the bank for various projects was utilized for purposes other than for which it was availed. An alleged loss of Rs 428.50 crore (approx.) was caused to Canara Bank," the release said.
The agency today conducted searches at seven locations, including in Mumbai and Kutch (Gujarat), at the premises of the accused which led to the recovery of "incriminating documents and articles", the release added.