Loan Default: DPIL Directors Presented Before CBI Court
The directors of Vadodara-based Diamond Power Infrastructure Ltd (DPIL), Amit Bhatnagar and Sumit Bhatnagar, were presented before a special Central Bureau of Investigation (CBI) court on Wednesday, in connection with an alleged fraud of Rs 2654 crore with 11 banks.
Ahmedabad (Gujarat) [India], Apr 18 (ANI): The directors of Vadodara-based Diamond Power Infrastructure Ltd (DPIL), Amit Bhatnagar and Sumit Bhatnagar, were presented before a special Central Bureau of Investigation (CBI) court on Wednesday, in connection with an alleged fraud of Rs 2654 crore with 11 banks.
The brothers, along with their father and founder of the firm - Suresh Narain Bhatnagar, were arrested by the CBI on Tuesday night, for allegedly cheating numerous banks by falsification of accounts, creation of false documents and forgery of records.
It is alleged that DPIL, through its management, had fraudulently availed Credit Facilities from a Consortium of 11 Banks (Public Sector and Private Sector) since 2008, leaving behind an outstanding debt of Rs 2654.40 crore as on June 29, 2016.
The company and its directors managed to get the term loans and credit facilities, in spite of the fact that they were already appearing on the defaulters' list of the Reserve Bank of India (RBI) and Export Credit Guarantee Corporation (ECGC) caution list at the time of initial sanction of credit limits by the consortium.
It was also reported that at the time of formation of the Consortium in 2008, Axis Bank was the lead bank for the term loan, while Bank of India was the lead bank for CC Limits. (ANI)
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