NEW DELHI: The Central Bureau of Investigation raided multiple premises of Bhushan Steel and Power Ltd in several cities on Saturday, pertaining to Rs 2,348 crore cheating case.
According to officials, the company’s offices at Delhi-NCR, Chandigarh and Kolkata, as well as its residential premises of its directors, promoters and their associates were searched.
The investigative agency has booked Bhushan Steel and Power, which is already undergoing resolution proceedings under the Insolvency and Bankruptcy Code, for entering into a criminal conspiracy to cheat financial institutions. The company’s directors, unidentified public servants and other private persons are named in the case.
“It was alleged that the accused entered into a criminal conspiracy among themselves and with unknown public servants and others to cheat banks/financial institutions/government exchequer,” a CBI spokesperson said.
The agency has alleged that Bhushan Steel and Power directors diverted a huge amount of bank funds using their companies as well as shell companies.
The company deliberately defaulted in repayment and also claimed inadmissible credit, causing a loss of Rs 2,348 crore to the banks, the spokesperson said.