Another loan default case: Corporation bank reports Rs 68 mn-fraud to CBI

The Central Bureau of Investigation (CBI) has booked an auto dealer in Jamshedpur for allegedly defrauding the Corporation Bank to the tune of Rs 67.7 million (Rs 6.77 crore).The agency has booked auto dealer Ramnandi Estates Pvt Ltd and its directors Akhouri Gopal, Sanjeeta Akhouri, Akhouri Nishant and Akhouri Nitesh.An empanelled valuer of the Corporation Bank Sanjay Kumar has also been named as accused in the FIR.A loan of Rs 100 million (Rs 10 crore) was allegedly sanctioned to the company from the zonal office of the bank in Patna for setting up a showroom and service centre in 2014.

it is alleged that the loan was sanctioned on the basis of highly enhanced valuation reports of securities.The bank has alleged that the accused defaulted on the loan, which was declared Non-Performing Asset in September 2016 causing a loss of Rs 67.7 million (Rs 6.77 crore).

The alleged fraud comes amid CBI’s probe into recent complaints of massive frauds in the Punjab National Bank, Bank of Baroda and Oriental Bank of Commerce.business-standard