KOCHI: The Central Bureau of Investigation (CBI) has registered a case against Thiruvananthapuram-based Heera Construction Company Private Ltd (HCCPL) and its six directors for alleged involvement in loan manipulation by selling mortgaged land without the permission of the State Bank of India (SBI). The CBI Anti-Corruption Unit in Kochi has registered an FIR in this regard.
The case was registered following a complaint lodged by SBI Regional Manager, Regional Business Office, in Thiruvananthapuram. The CBI has turned HCCPL MD Abdul Rasheed and five other directors as accused in the FIR. “A preliminary investigation was carried out. Based on the information obtained, we decided to register an FIR and carry out the investigation,” a CBI officer said.
The CBI in its FIR stated HCCPL had been enjoying a credit facility from SBI to the tune of Rs 15 crore since 2010. In 2013, a project loan of Rs 15 crore was sanctioned to HCCPL for the project Heera Lake Front at Akkulam in Thiruvananthapuram. The loan was to be repaid by December 2016.
However, the project was not completed as scheduled and at the request of HCCPL, the limit was reviewed on March 2017 and continuance of the loan facility was extended till December 2017. The Akkulam project was under construction and it was valued at Rs 25.40 crore at the time of loan sanction.
One of the collateral securities in respect of the project loan was a commercial property named Heera Plaza owned by HCCPL at Chinnakada in Kollam having 26 shops. The market value of the property at the time of loan sanction was Rs 5.40 crore. At the request of HCCPL, the bank permitted part release of the mortgaged property - around 12 shops of the commercial building. However, when the repayment of the loan stopped, the bank came to know HCCPL sold the entire commercial building without the permission of the bank. The commercial building is now physically occupied by third parties. Due to the sale of the building, the recovery of the loan turned into a complex affair.
When the loan account was classified as NPA on May 2017, the bank initiated action to take possession of Heera Lake Front consisting of 72 apartments. However, later it came to the notice of the bank that HCCPL sold the apartments to various buyers without the consent of the bank. Several flat buyers also approached the bank claiming their rights over the property.
“The total due in the loan account was Rs 12.08 crore. We suspect that flats were sold by fraudulent execution of deeds and use for false documents. The case has been registered based on IPC 120 B and section 13(2) of the Prevention of Corruption Act,” an officer said.