Delhi-based diamond exporter in loan soup

The Oriental Bank of Commerce had lodged complaint against Dwarka Das Seth International on August 16, 2017 but the CBI registered FIR on Thursday. Acting on complaints by three different banks, the investigative agency has registered three cases of financial fraud within a week against a jeweller, a businessman, and a public servant.

On Saturday, the CBI had registered a case against another Delhi-based diamond exporter, Dwarka Das Seth International PVT Ltd, and its directors after receiving a complaint from Oriental Bank of Commerce. The business moved diverted the funds from the Escrow account to other accounts preserved by it with SBI, Punjab National Bank and UCO Bank through RTGS.

The CBI has named the company's Chairman and Managing Director Gurmit Singh Mann, Deputy Managing Director Gurpal Singh and eight other officials in its First Information Report.

Simbhaoli Sugars Limited is one of the largest sugar mills in the country.

The investigation conducted by the bank found that the company used the letter of credit to pay for the purchase of gold and other precious gems. "He had approached me for consultancy on taking loan".

Officials said that the Bank sanctioned a loan amounting to Rs 148.60 crore in 2011 to the private company for financing individual, Joint Liability Groups, Self-Help Groups under the tie-up arrangement under the Reserve Bank of India (RBI) scheme to 5,762 sugarcane farmers supplying sugar produce to said private company during the period from 15 January to 13 March, 2012. Of this, Rs 97.85 crore was declared non-performing asset (NPA). The second corporate loan, too, was declared an NPA in November 2016. When the bank sold it off to recover its dues, it fetched only Rs 73 lakh. The Bank of Maharashtra's FIR names Singla, the proprietor of Delhi-based Ashirwad Chain Co, loan guarantor Roshan Lal Bhalotia, property valuation firm Tech Mach International and unknown officials of the bank. The second loan was declared NPA (non-performing asset) on November 29, 2016, almost three weeks after demonetisation of Rs 1,000 and Rs 500 notes was announced. Tech Mach was later removed from the panel of valuers by the bank.

The investigation agency has filed two FIRs against Inder Chand Chundawat, former senior branch manager at PNB's Barmer branch.

  • Delores Daniels