Challenge in Bihar
In the tumultuous arena of Bihar politics, where alliances shift like sand dunes in the wind, this election seems poised to redefine the political landscape.
Central Bureau of Investigation (CBI) has lodged an FIR of loan fraud of Rs 167 crore against a Mumbai based firm Varron Auto Kast Ltd and its directors.
A senior CBI official said that a written complaint in this respect was received from State Bank of India (Mumbai) against Varron Auto Kast Ltd. (Promoted by Shrikant Pandurang Sawaikar, since deceased), Pramod Madhukar Papani (director) (since deceased), and Sanjiv Vishvambhar Pophale (director).
It was alleged in the complaint that Varron Auto Kast Ltd. was a new venture of Varron Group. It was sanctioned term loan of Rs 167 Crores by the SBI and Rs 155 Crores each by Bank of India and Indian Overseas Bank (Consortium Members) out of total project cost of Rs 721.54 Crores, for the purpose of setting up an auto component manufacturing complex at Nagpur.
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“The company diverted funds to individuals for civil and construction work not backed by invoices thereby causing wrongful loss to the State Bank of India to the tune of Rs. 167 Crores to the SBI and corresponding wrongful gain to the company and its Directors,” reads the FIR.
The official said that after receiving the complaint they filed an FIR under sections 120-B read with sections 420, 467, 468, 471 IPC and section 13(2) read with sections 13(1)(d) of Prevention of Corruption Act.
Further investigation in the case is underway.
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