CBI arrests Rotomac promoter Vikram Kothari, his son in loan default case
NEW DELHI: The CBI on Thursday arrested Rotomac promoter Vikram Kothari and his son Rahul in connection with a of Rs 2919 crore loan default case, according to spokesperson of the agency. “Both the accused were not cooperating with the investigators and were evasive in their replies during questioning, which necessitated their custodial interrogation,” said a CBI spokesperson. The arrests came after the Kotharis were questioned for the fourth consecutive day on Thursday following searches at their residences and offices in Kanpur.
NEW DELHI/KANPUR : The Central Bureau of Investigation (CBI) on Thursday arrested Rotomac promoter Vikram Kothari and his son Rahul in connection with a of Rs 2919 crore loan default case, according to spokesperson of the agency.
“Both the accused were not cooperating with the investigators and were evasive in their replies during questioning, which necessitated their custodial interrogation,” said a CBI spokesperson.
The arrests came after the Kotharis were questioned for the fourth consecutive day on Thursday following searches at their residences and office premises in Kanpur.
The 14 bank accounts of the family and their company have already been sealed. In addition the residential premises, offices and factory have also been sealed. The Enforcement Directorate, which the joined the CBI in the investigation, has registered a separate case under sections of Prevention of Money Laundering Act, 2002.
The Income Tax department has attached four immovable properties of the Kotharis -- three in Kanpur and one in Ahmedabad, Gujarat.
The CBI had registered an FIR in the case on the basis of a complaint from the Bank of Baroda, which was part of the consortium that alleged misappropriation of funds and violation of FEMA guidelines. The agency had named Rotomac Global Private Ltd, its directors Vikram Kothari, his wife Sadhana and son Rahul, and unknown bank officials as accused in the case.
The Bank of Baroda had said in its complaint that offices of Rotomac’s overseas suppliers and buyers in Hong Kong, Dubai and Sharjah were either closed or operating virtually. This prompted the state-owned bank to complain to the CBI that the company’s promoters were carrying out fake mercantile trade.
The case comes on the heels of a Rs 11,400-crore alleged fraud in Punjab National Bank (PNB) in which jeweller Nirav Modi and his uncle Mehul Choksi are accused.