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CBI FIR against Mumbai-based developer, CMD for defrauding SBI and 15 lenders of Rs 3,800 crore

PTI   

CBI FIR against Mumbai-based developer, CMD for defrauding SBI and 15 lenders of Rs 3,800 crore
Business1 min read
The CBI has registered an FIR against Mumbai-based Unity Infraprojects Ltd, its chairman managing director (CMD) Kishore Avarsekar, three directors and unknown public servants for allegedly defrauding State Bank of India and a consortium of 15 banks to the tune of Rs 3,847.58 crore.

The FIR (First Information Report) was registered on Thursday based on a complaint filed by the Deputy General Manager, SBI, Stressed Assets Management Branch I, Mumbai.

The FIR names UIL, its Chairman Managing Director Kishore Avarsekar, vice chairman and promoter guarantor Abhijit Avarsekar, executive director Ashish Avarsekar, whole-time director promoter Pushpa Avarsekar, unknown public servants, and private persons.

According to the complaint, credit/loan facilities, fund-based as well as non-fund based, of approximately Rs 3,800 crore were sanctioned to Unity Infraprojects Limited by SBI and other consortium member banks.

The complaint alleged that the fraud took place at its commercial branch in Mumbai where the accused persons siphoned the "Bank's funds by doing fictitious transactions, manipulated and fudged books of accounts with an objective to defraud and cheat the bank and to gain unlawfully at the cost of the Banks' funds".

"The said company by way of fictitious transactions undertaken by it through fraudulent LC trade model, improper adjustment entries by fudging data, diversion of funds through non-consortium accounts, diversion of funds through related parties and unexplained excess payouts, siphoned off the funds of SBI and other consortium banks and thereby cheated these banks," the FIR stated.

Prima facie, the complaint discloses the commission of offences of criminal conspiracy, cheating and criminal misconduct under sections 120 B and 420 of the Indian Penal Code, and sections 13 (2), 13 (1) (d) of the Prevention of Corruption Act, it added.

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