Lucknow court hands over custody of Vikram and Rahul Kothari to CBI

A CBI court on Saturday handed over the custody of Rotomac pens owner Vikram Kothari and his son Rahul Kothari to the investigating agency for 11 days in connection with alleged loan default to the tune of Rs 3,695 crore.

The Central Bureau of Investigation (CBI) on Saturday produced the Kotharis in the court of special judge M P Chaudhari after bringing them here on transit remand from Delhi, reports PTI.

The judge first took them in judicial custody and later remanded them in CBI custody for 11 days.

Both Vikram Kothari and his son have been booked for cheating a consortium of seven nationalised banks. Vikram Kothari's wife Sadhna Kothari is also accused in the case.

The CBI arrested the father-son duo on Thursday in Delhi after the agency alleged the accused were not cooperating with the probe.

On a complaint of Bank of Baroda, the CBI had registered an FIR against the Kotharis for allegedly defaulting on loans taken by Rotomac Global Private Ltd. from the consortium of banks from 2008 onwards.

The banks had extended loans worth Rs 2,919 crore to the company and the amount swelled to Rs 3,695 crore, including the accrued interest, because of repeated defaults on payment by the company, the agency has claimed.

The CBI initiated the action on the complaint of Bank of Baroda, a member of the consortium led by Bank of India, which had approached the agency fearing that Vikram Kothari might flee India.