HYDERABAD: The Central Bureau of Investigation (CBI) on Friday conducted coordinated searches at 10 locations in Telangana and Andhra Pradesh in connection with an alleged bank fraud of Rs 105.44 crore involving M/s NCS Sugars Ltd.
The case was registered by the CBI’s Bank Securities and Fraud Branch (BSFB), Bengaluru, against the company, its directors and unknown public servants based on a complaint filed by Punjab National Bank (PNB), Chennai. The agency has booked the accused on charges of criminal conspiracy, cheating, criminal breach of trust, misappropriation of property and forgery.
The accused allegedly submitted forged documents to PNB to obtain credit facilities. Instead of utilising the funds for business purposes, they allegedly diverted and misappropriated the loan amount before defaulting on repayment, causing a wrongful loss of `105.44 crore to the bank.
Searches were carried out at the company’s factory, registered office and residential premises of its directors across Hyderabad, Vizianagaram and Kakinada.