New Delhi: The Central Bureau of Investigation (CBI) on Monday arrested the Managing Director cum Promoter of a private company based in the national capital in an on-going investigation of a case related to bank fraud of Rs 512.67 crore.
The accused has been identified as Avinash Jain, the MD of Arise India Limited.
During investigation of the case, the CBI had examined several persons including witnesses, officials of the private company and bank officials.
However, Jain was found to be evasive in his replies after which he was placed under arrest.
The CBI lodged a case on November 19, 2020 against Avinash Jain, Arise India Limited and others on the allegations of causing loss to banks to the tune of Rs 512.67 crore.
The complainant, State Bank of India in its complaint had alleged that the accused cheated the consortium of six banks, led by the SBI, causing fraud of Rs 512.67 crore.
The accused had allegedly diverted bank loans to its related parties and deliberately cheated the banks by inflating the debtors of the company.
Arise India Limited is into the business of manufacturing and trading of monoblock pump, submersible pump, batteries, inverters and electrical goods and its units are at Sonipat (Haryana) and Kala Amb (Himachal Pradesh).
The accounts of said the company was declared NPA in 2017.
The CBI had earlier conducted searches at the premises of the accused which led to the recovery of several incriminating documents including books of accounts of the borrower company, purchase, sales details, etc.
The arrested individual will be presented tomorrow (on Tuesday) at a court here, officials said.
–IANS