Bhubaneswar: The CBI conducted searches at six locations across four states including Odisha and West Bengal, in connection with a Rs 1,109-crore bank fraud case against a Bhubaneswar-based power infrastructure company, officials said Sunday.
The operation conducted Saturday covered residential premises of accused directors of Gupta Power Infrastructure Ltd in Bhubaneswar, the company’s registered office in Kolkata and manufacturing facilities in Kashipur in Uttarakhand, Tiruvallur in Tamil Nadu, and Bhubaneswar.
“The case pertains to alleged defrauding of Canara Bank to the tune of Rs 1,109 crore in connection with various fund-based and non-fund-based financial facilities availed by the accused company from the bank,” a CBI spokesperson said in a statement.
According to the CBI statement, the company is ac cused of defrauding the bank by availing various fund-based and non-fund-based credit facilities through allegedly inflated stock values, overstated trade receivables and falsified financial statements to secure enhanced credit limits.
The CBI alleged that the accused manipulated the value of stocks and inflated trade receivables, falsified the company’s financial statements to obtain enhanced credit facilities, siphoned and diverted loan funds, and resorted to evergreening of accounts, thereby causing a wrongful loss to the bank.
The searches were conducted under warrants issued by the Special Judge, CBI, Bhubaneswar. The agency said it seized several incriminating documents during the operation and that further investigation into the case is underway.
