NEW DELHI: The Central Bureau of Investigation (CBI) carried out raids at six locations across four states in connection with an alleged bank fraud of Rs 1,109 crore involving Gupta Power Infrastructure Ltd.
"The searches, conducted on Saturday in West Bengal, Odisha, Tamil Nadu and Uttarakhand, were carried out under warrants issued by a special CBI court in Bhubaneswar," the agency said.
"The case relates to alleged fraud against state-run Canara Bank over fund-based and non-fund-based credit facilities availed by the company," the CBI said.
The federal probing agency alleged the accused manipulated stock valuations and inflated trade receivables, falsified financial statements to secure enhanced credit limits, diverted loan funds, and resorted to 'evergreening' of accounts to conceal defaults, causing wrongful loss to the bank.
"Locations searched included the residences of four directors of Gupta Power Infrastructure in Bhubaneswar, the company's registered office in Kolkata, and manufacturing units in Kashipur in Uttarakhand, Tiruvallur in Tamil Nadu, and Bhubaneswar," the CBI said.
The searches led to the seizure of incriminating documents, it said, adding that the investigation was continuing.