97cr loan default case on sugar firm

◗ Punjab CM Amarinder Singh son- in- law among those booked for bank loan fraud

New Delhi, Feb. 25: The CBI has registered a case against Simbhaoli Sugars Limited, its chairman Gurmit Singh Mann, deputy managing director Gurpal Singh and others in connection with an alleged bank loan fraud of ` 97.85 crore.

Simbhaoli Sugars Limited is one of the largest sugar mills in the country. The company’s CEO G. S. C. Rao, CFO Sanjay Tapriya, Executive Director Gursimran Kaur Mann and five non- executive directors have also been booked by the agency.

Gurpal Singh is the soninlaw of Punjab chief minister Amrinder Singh. The CBI on Sunday carried out searches at eight premises including residences of the directors, factory, corporate office and registered office of the company in Delhi, Hapur and Noida, CBI spokesperson Abhishek Dayal said. The probe focuses on two loans — ` 97.85 crore which was declared fraud in 2015 and another corporate loan of ` 110 crore which was used to repay the previous loan.

The second loan was declared NPA on November 29, 2016, nearly 20 days after scrapping of ` 1,000 and old ` 500 notes was announced, according to the CBI FIR.

The bank was allegedly cheated to the tune of ` 97.85 crore, but the loss incurred by the bank is ` 109.08 crore, the FIR read. The lender, Oriental Bank of Commerce, complained to the CBI on Nov. 17, 2017, but the agency registered a case of criminal conspiracy and cheating on February 22.