NEW DELHI:  CBI on Wednesday claimed to have busted a racket of Indian Overseas Bank officials and businessmen who allegedly managed to siphon off Rs. 321 crore of public money to a Hong Kong-based company using fake guarantee issued by the bank.

The agency carried out searches at 14 locations spread across Chandigarh, Ludhiana, Panchkula, Amritsar and Zirakpur (Punjab) of 11 people and companies against whom a case has been registered by it, CBI sources said.

They alleged that the mastermind of the conspiracy is Ashu Mehra, an assistant manager with the bank, who helped a company get Letters of Comfort — a kind of guarantee — from the bank in favour of a Hong Kong-based company which managed to avail credit from Bank of Baroda (BoB), Bahama branch and Punjab National Bank (PNB), Dubai branch between 2014 and 16.

CBI has named in its FIR two more then Assistant Managers of the Chandigarh branch of the bank — Nitish Negi and Gaurav Bhatia, Proprietor of Chandigarh-based Vision Procon Dinesh Kumar, owner of Heights International Amanpreet Singh Sodhi, Directors of Sai Bhakti Impex — Aman Kirpal and Gaurav Kirpal, the company Sai Bhakti Impex, Hong Kong-based Colour Wave (HK) Ltd and other unknown officials. Sodhi also owns the Hong Kong-based company.

The sources said Mehra not have the power to issue such Letters of Comfort. His father-in-law M S Dullat, a retired Brigadier, has also been named in the FIR.

They said officials of BoB and PNB are also under scanner of the agency.

“It was alleged that the accused persons in connivance criminal conspiracy with the branch officials and with each other siphoned off the bank funds under the garb of Letter of Comforts in favour of the Hong Kong-based company purportedly issued by officials of Indian Overseas Bank, Chandigarh to PNB, Dubai and BoB, Bahamas,” CBI spokesperson R K Gaur said in New Delhi.

He said based on these fraudulently issued Letters of Comfort, the banks issued buyers’ credit to the account of accused abroad.

An alleged loss of around Rs. 321 crore was caused to the complainant bank (IOB) and the foreign branches of PNB and BoB, the spokesperson said.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

RS 321-CRORE FRAUD

CBI books officials of Indian Overseas Bank

Syed Ali Ahmed

Tribune News Service

New Delhi, August 10

The CBI registered a cheating case against three officials of the Chandigarh branch of Indian Overseas Bank (IOB), proprietors and two directors of three Chandigarh-based private firms and four others on alleged charges of fraud that caused Rs 321 crore loss to the IOB, Punjab National Bank (PNB) and Bank of Baroda (BOB).

The agency also conducted raids at 14 locations in Chandigarh, Ludhiana, Panchkula, Amritsar and Zirakpur to recover documents relevant to the case, sources said.

The sources said the case was registered against the accused on the basis of a complaint of the IOB, Delhi Zone. The accused were identified as ex-Assistant Managers of the Chandigarh Branch of the IOB – Ashu Mehra, Nitish Negi and Gaurav Bhatia: proprietors of two Chandigarh-based private firms – Dinesh Kumar of M/s Vision Procon, Amanpreet Singh Sodhi of M/s Heights International; Aman Kirpal and Gaurav Kirpal, Directors of Chandigarh based M/s Sai Bhakti Impex Private Limited; Brigadier (Retd.) MS Dullat of Chandigarh and M/s Colour Wave (HK) Limited in Hong Kong. The Vision Procon and Heights International are also accused in the case.

The agency registered the case under sections 120-B, 420 of the IPC and sections 13(2), 13(1) (d) of the Prevention of Corruption Act, 1988, said spokesperson of the CBI, RK Gaur.

“It was alleged that the accused persons in criminal conspiracy with the branch officials and with each other siphoned off the bank funds under the garb of Letter of Comfort in favour of Hong Kong-based company purportedly issued by the officials of the Indian Overseas Bank, Chandigarh, to Punjab National Bank (PNB), Dubai, and Bank of Baroda (BoB), Bahamas in West Indies. Based on these fraudulently issued Letters of Comfort, these Foreign Banks issued Buyers’ Credit to the account of accused companies abroad,” the spokesperson said.

“An alleged loss of Rs 321 crore (approximately) was caused to the complainant bank (IOB) and the foreign branches of PNB and BoB, he said.