Another bank fraud, Vadodara firm swindles 2654 Cr.
text_fields
Ahmadabad: Central Bureau of Investigation (CBI) has filed a case against a Company in Vadodara for a scam of 2654 Crores.
Diamond Power Infrastructure Limited (DPIL) and its directors took loans and availed credit facilities though they were listed as defaulters by the Reserve Bank of India.
A consortium of 11 public and private banks lent the loans. It is alleged that DPIL, promoted by S.N. Bhatnagar and his two sons Amit and Sumit Bhatnagar were involved in the scam.
On Thursday, CBI conducted searches on the premises of the company and its functionaries. DPIL is accused of submitting false stock statements to the consortium to get credit amounts.
It is also alleged that 16 letters of credit ,amounting to Rs. 110.79 crore, issued by Bank of India in the name of DPIL's sister concern Ruby Cables, were not honoured by the company.
DPIL is involved in manufacturing of electric cables and electric equipment.