The CBI has arrested two promoters-cum-directors of Nagpur-based private projects company, then deputy general manager and Corporate branch head of Canara Bank, Bangalore, for allegedly causing loss of an approximate Rs290.77 crore to two banks.
The CBI arrested Manoj Kumar Jayaswal and his son Abhisekh Jayaswal, both promoters-cum-directors of M/s Abhijeet Projects ltd. (now M/s. Pathbreaking Projects ltd.) and T l Pai, then DGM and branch head, Canara Bank, Prime Corporate Branch, Bangalore for allegedly cheating Canara Bank and Vijaya Bank, while executing an EPC contract for setting up of a coal based power project at Banka (Bihar) on behalf of other private Infrastructure & Power Company, also based at Kolkata, another group company of the Group.
The arrests have been made on the basis of a case registered by the CBI on September 29, 2015 against Manoj Jaiswal and his son, two other Directors of their private company, another Kolkata-based private Infrastructure Company and some others on a complaint received from Canara Bank, Bangalore and Vijaya Bank, Bangalore, that the accused persons cheated both the Banks, causing a total loss of Rs290.77 crore to Canara Bank (Rs218.85 crore) & Vijaya Bank (Rs71.92 crore). The private Projects Company is one of the group companies promoted by both the arrested accused father and son.
Apart from Manoj Jaiswal, his son Abhishiek and Pai, the others named in the FIR are: Arun Kumar Srivastava, P N Krishnan, all Directors of M/s. Abhijeet Projects ltd; M/s. Abhijeet Projects ltd. (now M/s.Pathbreaking Projects ltd.); M/s. Simplex Infrastructure ltd and unknown others.
During the investigations, it was revealed that Manoj Jaiswal along with his son, in conspiracy with then DGM & branch head, Canara Bank, Prime Corporate Branch, Bangalore and others had allegedly cheated Canara Bank and Vijaya Bank, while executing an EPC contract for setting up of a coal based power project at Banka(Bihar) on behalf of other private Infrastructure & Power Company also based at Kolkata, another group company of said Group.
According to the CBI, the Private Projects company allegedly awarded the Civil & Structural Work of the EPC contract to private infrastructure company based in Kolkata and executed a contract agreement, as per which the former was required to pay mobilization advance of an approximate Rs.157.9 crore in 5 instalments and the latter was required to give Bank Guarantee of the like amount to the former.
It was further alleged that they also executed an amendatory agreement (without the knowledge of the banks), as per which the private company based at Kolkata was required to refund the mobilisation advance on demand of the Private Projects Company.
It was learnt that 13 group companies of said Group allegedly borrowed money from over 20 banks / financial institutions & the accounts have become NPA.
