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OBC defrauded of Rs 155 cr, CBI books Haryana’s timber firm
New Delhi, May 11 (IANS) The CBI has registered a fresh bank fraud case amounting to Rs 155.21 crore which was sanctioned by Oriental Bank of Commerce (OBC) to avail credit facility to Haryana’s Karnal-based timber firm Mahesh Timber Private Limited (MTPL).
The central agency registered the FIR against MTPL, its Director Ashok Kumar Mittal and his wife Nisha Mittal on Tuesday based on a complaint by the OBC.
OBC’s Senior Manager (now terminated) Surendra Kumar Ranga and some unidentified persons have also been named in the Central Bureau of Investigation (CBI) FIR.
The account of the MTPL, engaged in trading and sawing imported timber, was declared a non-performing asset on September 26, 2016, the OBC complaint said.
“The suspected persons colluded with each other and cheated OBC of Rs 155.21 crore, which is principal outstanding in cash credit and vehicle account, after debits of various bills and also adjustments of margin corporate debt restructurings in account,” the FIR said.
As per the CBI FIR, MTPL approached OBC’s Karnal-based branch in 2009 for sanction of various credit facilities which the bank did.
MTPL established its wholly owned subsidiary Mahesh Timber (Singapore) Pvt Ltd (MTSPL) in Singapore in August 2007, said the FIR.
The MTSPL later started availing credit facilities from Singapore-based branches of State Bank of India (SBI), Bank Of Baroda (BOB) and UCO Bank and the credit facilities were backed by Stand By Letter of Credit (SBLC) availed by parent company MTPL from Karnal-based branches of SBI, OBC and BOB, the FIR said.
“To provide more credit facilities to MTPL, a consortium was formed. The firm was sanctioned various credit facilities by the consortium of banks with total exposure of Rs 242.09 crore.”
As per April 18, 2017 consortium meeting, the principal amount sanctioned till March 31, 2017 by SBI was 17.87 crore, OBC (Rs 155.21 crore), Bank of Broda (Rs 44.31 crore) and Lakshmi Vilash (Rs 22.07 crore).
The OBC suspected fraud for the reason of “irregularities in foreign exchange transactions” amounting Rs 106.64 crore and this was reported to the Reserve Bank of India on September 21, 2016, the FIR said.
“However, till date other member banks have not declared it as fraud,” said the FIR.
The FIR said cash credit limit by OBC was sanctioned on October 5, 2015 and it was illegally enhanced from Rs 12 crore to 108.11 crore as on September 26, 2016.
It is revealed that Foreign Letter of Credits (FLCs) were opened in Bank’s book through financial and SWIFT or Society for Worldwide Interbank Financial Telecommunication code — an internationally recognized identification code for banks around the world.
“Subsequently, the dealing officer without having any authority, fraudulently and in collusion with the suspected persons, increased the amount of FLC by way of sending amendment through SWIFT without increasing the amount in Bank’s book.
“Bills lodged by the overseas bank against these LCs were confirmed for payment on due date in the SWIFT message,” the CBI FIR said.
The FIR said the complaint bank made the payments to overseas banks as per their demands of letter of credit as bank is bound to pay.
–IANS
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Dr. Abhishek Verma Dedicates a Shelter in Memory of His Mother, Veena Verma, at KGMU; Inaugurated by Daughter Nicolle Verma
World-renowned business tycoon Dr. Abhishek Verma has supported Foodman Vishal Singh’s Hunger-Free World mission. In memory of his mother, Late Veena Verma, who was a 3 term Rajya Sabha MP.
Dr. Verma dedicated a state-of-the-art free permanent shelter for the attendants of patients at KGMU Medical University, Lucknow, under the aegis of Vijay Shree Foundation. His daughter, Nicolle Verma, inaugurated the shelter.
During the event, Foodman Vishal Singh honored Nicolle Verma by presenting her with a memento. Mrs. Nidhi Sharma and Avantika Yadav, associated with the organization, welcomed her with garlands. Following this, Nicolle Verma distributed essential items to the attendants and also handed out fruits. She became emotional remembering her grandmother on her birth anniversary.
On this occasion, she also inaugurated the “Veena Verma Sevalaya” in memory of her grandmother, Veena Verma, to serve the attendants. She expressed, “I feel proud that my family is engaged in nation-building as well as social service. Today, in collaboration with Vijay Shree Foundation founder Foodman Vishal Singh Ji, I feel immensely proud to dedicate this shelter for the poor, helpless, and needy attendants of patients battling serious illnesses like cancer. I am honored to be associated with the Hunger-Free World Mission for humanity.”
Inspired by the continuous humanitarian service provided by Vijay Shree Foundation over the past 17 years, Nicolle Verma donated 10 lakh rupees to support the cause. The purpose of this donation is to ensure that services continue for the needy attendants of patients suffering from severe illnesses in hospitals, as facilitated by Foodman Vishal Singh.
It is noteworthy that Dr. Abhishek Verma’s family has a legacy of public and philanthropic service. They are helping millions to carry forward the values and service work of their parents. On the occasion of his mother’s birth anniversary, Dr. Abhishek Verma dedicated this state-of-the-art permanent shelter at Lucknow Medical College to serve the attendants of patients through the Vijay Shree Foundation.
Supporting Foodman Vishal Singh’s Hunger-Free World mission, Dr. Abhishek Verma assured that he would continually support keeping this flame of humanity alive. He also promised to assist in providing medicines to the helpless patients.
Continuing her grandmother’s legacy of service, Nicolle Verma personally served food to the needy patients and attendants. She said, “It is our good fortune to have received the joy of doing this noble work today through Foodman Vishal Singh. I have taken another step forward in carrying my family’s values and cooperation by joining hands with the Vijay Shree Foundation. My father taught me to serve and help the needy, and I feel happy when I bring a smile to someone’s face.”
On the birth anniversary of the late Veena Verma, the event organizer, Vijay Shree Foundation founder Foodman Vishal Singh, said, “We feel proud and happy that Dr. Abhishek Verma, a globally renowned business tycoon, has extended his support to uplift our country from the hunger index. Today, on his mother’s birth anniversary, he inaugurated a state-of-the-art permanent shelter at Lucknow Medical College, which will always be helpful for the needy attendants of patients. It is a pleasure for me and the organization to receive the affection of Mr. Verma.”
The event was attended by General Manager Verma Family Office Hemant Garg, Sonu Rajput, and the organization’s volunteers, including Sandeep Singh, Parmeshwar Ji, Prashant Rao Gautam, Balram Singh, Ramesh Chaudhary, Suman, Jeetu, Anil, Suraj, Vinay, Manish Bhadauria, Manas Mehrotra, Vivek, Apurv, Happy, and others.