The Central Bureau of Investigation (CBI) has carried out searches at the premises of the promoters of Shri Hari Extrusion Pvt Ltd in connection with an alleged fraud of Rs 62 crore at Punjab National Bank (PNB). The agency has named company directors Kishor Gupta and Vijay Agarwal, along with an unidentified public servant, in the case.
Allegations of Loan Fraud
According to the CBI, the company, through its two directors, approached PNB seeking financial facilities and submitted its financial statements and business projections. The accused allegedly induced the bank to believe that the company’s business would expand with the sanctioned credit limits, following which PNB sanctioned the loan.
Misuse of Funds
The CBI alleged that after obtaining the loan, the company resorted to fraudulent practices and misused the funds through unsecured loans, transactions with sister concerns, non-routing of sales through the lending bank, and payments to related parties.
Forensic Audit Reveals Diversion
A forensic audit of the account later revealed what investigators described as a concerning pattern of diversion and siphoning of loan money. Subsequently, the company’s account turned non-performing asset (NPA), causing a loss to PNB.
Investigation Details
The CBI searches were conducted at multiple locations in Mumbai and surrounding areas. The agency is investigating the role of the unknown public servant who may have facilitated the fraud. Further developments are awaited as the probe continues.
