CBI arrests Chairman and MD of Private Company in an on-going investigation of fraud case to consortium of banks

The Central Bureau of Investigation (CBI) has arrested a Chairman and Managing Director of Private Company in an ongoing investigation of a case related to fraud of around 289.15 crore rupees to consortium of banks. A case was registered regarding the same in May last year.

It was alleged that the consortium of Banks comprising Bank of India, Union Bank of India, Canara Bank, Bank of Baroda and UCO Bank have granted a Term Loan of 300 Crore rupees to the borrower company. It was granted between the years 2009 and 2014 for



construction of a Hotel in Paschim Vihar, New Delhi along with commercial spaces.

It was further alleged that the accused sold several Commercial, Retail, and Office spaces of the said Hotel-cum-Commercial building to various parties without intimating the lender banks, and funds obtained from these buyers were siphoned off.

The arrested accused was produced before the Competent Court in Delhi and was remanded in Police Custody up to 13th of this month.