Rotomac Pens bank fraud case: CBI court refuses regular bail to Vikram Kothari, son 

The CBI had arrested the duo accused in Delhi on February 23 and since then the accused have been in jail.

Published: 15th March 2018 03:15 PM  |   Last Updated: 15th March 2018 03:16 PM   |  A+A-

Rotomac Pens owner Vikram Kothari and his son Rahul Kothari escorted by CBI officials. (File photo | PTI)


LUCKNOW: A CBI court has rejected the regular bail pleas of Rotomac Global promoter, director Vikram Kothari and his son Rahul Kothari, in connection with the alleged Rs 3,695 crore willful loan default case.

Earlier on March 7, the court had turned down Vikram's interim bail plea also.

The CBI had arrested the duo accused in Delhi on February 23 and since then the accused have been in jail.

The accused were then brought to Lucknow on transit remand after their arrest.

The CBI court, on the application of premier agency, had on February 24 allowed their police remand for the purpose of interrogation in its custody.

The CBI remand period expired on March 7, after which the judge MP Chaudhary had taken him under judicial custody and sent him to jail.

Meanwhile, both the accused moved bail pleas but the court refused them bail.

The court observed that the offence was serious and the accused did not deserve bail.

According to the prosecution, a consortium of seven banks led by Bank of India had extended loans worth Rs 2,919 crore to Rotomac Global Pvt Limited from 2008 onwards.

However, according to an FIR filed by CBI, the directors allegedly cheated the banks by diverting the raised funds in a conspiracy with unidentified bank officials.

The agency has claimed that instances were found where the credit sanctioned and disbursed to the company was used for purposes other than execution of the claimed export orders.

Also, citing the FIR only, prosecutor also placed a case in which the credit sanctioned for an export order purportedly received from Singapore for supply of wheat was diverted to another company named Bargadia Brothers Private Limited, Singapore.

The CBI prosecutor further narrated another modus operandi wherein the accused would use the loans -- disbursed on proposals for procurement of goods meant for exports -- for undeclared purposes.

In such cases, no export orders were allegedly executed by the company, the agency said.

Further, it was also alleged in the FIR that most suspect transactions of the company were with a limited number of buyers, sellers, sister concerns and subsidiary companies.

The FIR in the case has stated that the act of the accused amounted to misappropriation, criminal breach of trust and violation of the Foreign Exchange Management Act.

Stay up to date on all the latest Nation news with The New Indian Express App. Download now
(Get the news that matters from New Indian Express on WhatsApp. Click this link and hit 'Click to Subscribe'. Follow the instructions after that.)


Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on are those of the comment writers alone. They do not represent the views or opinions of or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp