The Central Bureau of Investigation today conducted coordinated search operations in connection with a case registered at CBI, BSFB Bengaluru Branch on the directions of the Hon’ble High Court of Judicature at Madras.
The case was registered on the basis of a complaint from Indian Overseas Bank, Chennai, alleging that a Kanchipuram-based company, along with its associated entities and unknown public servants, committed offences of criminal conspiracy, cheating, criminal breach of trust, misappropriation of property and forgery, causing a wrongful loss of ₹120.84 crores to the Indian Overseas Bank.
The allegations in the FIR include fraudulent availing of various credit facilities from Indian Overseas Bank, misappropriation of property, diversion of bank funds to sister concerns and unrelated entities, siphoning of funds to related parties, interest-free advances to private firms, and cash deposits of suspicious origin during the period of demonetization. The company and its associated entities are also suspected of transferring funds to shell or benami concerns to conceal the end use of the borrowed amounts.
Searches were carried out at six locations in Tamil Nadu, including Tenkasi, Chennai, and Tiruchirapalli. The premises covered included residential properties linked to the accused company’s directors and officers, as well as business establishments that have suspicious transactions with accused company, including two private companies which led to recovery of incriminating documents and digital evidence, including records relating to diversion of funds, and other materials relevant to the investigation.