18.1 C
New Delhi
Tuesday 21 January 2020

Kothari & son denied bail by CBI court

The directors of Rotomac Global allegedly cheated the banks by diverting the raised funds in a conspiracy with unidentified bank officials

Lucknow: A CBI court has rejected the regular bail pleas of Rotomac Global promoter, director Vikram Kothari and his son Rahul Kothari, in connection with the alleged Rs 3,695 crore willful loan default case.

Earlier on March 7, the court had turned down Vikram’s interim bail plea also.

The CBI had arrested the duo accused in Delhi on 23 February and since then the accused have been in jail.

The accused were then brought to Lucknow on transit remand after their arrest.

The CBI court, on the application of premier agency, had on 24 February allowed their police remand for the purpose of interrogation in its custody.

The CBI remand period expired on 7 March, after which judge MP Chaudhary had taken him under judicial custody and sent him to jail.

Meanwhile, both the accused moved bail pleas but the court refused them bail. The court observed that the offence was serious and the accused did not deserve bail.

According to the prosecution, a consortium of seven banks led by Bank of India had extended loans worth Rs 2,919 crore to Rotomac Global Pvt Limited from 2008 onwards. However, according to an FIR filed by CBI, the directors allegedly cheated the banks by diverting the raised funds in a conspiracy with unidentified bank officials.

The agency has claimed that instances were found where the credit sanctioned and disbursed to the company was used for purposes other than execution of the claimed export orders.

Also, citing the FIR only, the prosecutor also placed a case in which the credit sanctioned for an export order purportedly received from Singapore for the supply of wheat was diverted to another company named Bargadia Brothers Private Limited, Singapore.

The CBI prosecutor further narrated another modus operandi wherein the accused would use the loans — disbursed on proposals for procurement of goods meant for exports — for undeclared purposes.

In such cases, no export orders were allegedly executed by the company, the agency said.

Further, it was also alleged in the FIR that most suspect transactions of the company were with a limited number of buyers, sellers, sister concerns and subsidiary companies.

The FIR in the case has stated that the act of the accused amounted to misappropriation, criminal breach of trust and violation of the Foreign Exchange Management Act.


Stay on top - Get daily news in your email inbox

Sirf Views

Pandits: 30 Years Since Being Ripped Apart

Pandits say, and rightly so, that their return to Kashmir cannot be pushed without ensuring a homeland for the Islam-ravaged community for conservation of their culture

Fear-Mongering In The Times Of CAA

No one lived in this country with so much fear before,” asserted a friend while dealing with India's newly amended citizenship...

CAA: Never Let A Good Crisis Go To Waste

So said Winston Churchill, a lesson for sure for Prime Miniter Narendra Modi who will use the opposition's calumny over CAA to his advantage

Archbishop Of Bangalore Spreading Canards About CAA

The letter of Archbishop Peter Machado to Prime Minister Narendra Modi, published in The Indian Express, is ridden with factual inaccuracies

Sabarimala: Why Even 7 Judges Weren’t Deemed Enough

For an answer, the reader will have to go through a history of cases similar to the Sabarimala dispute heard in the Supreme Court

Related Stories

Leave a Reply

For fearless journalism

%d bloggers like this: