CBI files charge sheet in Rotomac loan default case

Representational Image

The CBI on Monday filed a charge sheet against Rotomac Global company in a Rs 456.63 crore alleged loan default to the Bank of Baroda, accusing its promoters Vikram Kothari and his son of criminal conspiracy, cheating and fraud, officials said.

The Central Bureau of Investigation (CBI), while filing the charge sheet before a special CBI court here, said more charge sheets will follow soon in the probe, which it had taken over, in a loan default of Rs 3,690 crore to seven banks, officials said. Both Kothari and his son Rahul are under judicial custody under the Prevention of Corruption Act.

The CBI, in its charge sheet, has also alleged that directors of the Rotomac company diverted loan funds that were issued for packing works for other purposes. Other than officials of the Kanpur-based company, bank officials including former AGM S.K. Upadhyay, the then bank manager Shashi Biswas and senior bank manager Om Prakash Kapoor have also been charged under several provisions of the Prevention of Corruption Act, officials said.

The agency has also alleged that the company had taken loans to the tune of Rs 2919 crore from seven banks between 2008-2017 which when added with interest totalled a staggering Rs 3,695 crore.

Catch up on all the latest Crime, National, International and Hatke news here. Also download the new mid-day Android and iOS apps to get latest updates

This story has been sourced from a third party syndicated feed, agencies. Mid-day accepts no responsibility or liability for its dependability, trustworthiness, reliability and data of the text. Mid-day management/mid-day.com reserves the sole right to alter, delete or remove (without notice) the content in its absolute discretion for any reason whatsoever