Rs 24-crore ‘fraud’: Court refuses bail to directors of private firm in Delhi

The CBI had contended that the accused may influence the witness if they are granted bail. The CBI had registered a case after the DGM of Canara Bank lodged a complaint against the accused of diversion of funds after taking a loan.

By: Express News Service | New Delhi | Published:July 4, 2017 6:00 am
Raksha Global Steel Private Limited, delhi firm fraud case, delhi news, indian express news Rejecting their bail plea, Special Judge Goyal observed that the “transaction” in the account “does not appear to have arisen due to genuine business”.

A special CBI court Monday refused to grant bail to the directors of a Delhi-based private company, Raksha Global Steel Private Limited, in connection with alleged fraud to the tune of Rs 24.64 crore. Special Judge Vijender Kumar Goyal dismissed the bail plea of the accused Vikas Singla and his brother Sumit Singla, who were arrested by the CBI in connection with the case and are accused of “diverting funds through the cash-credit account”.

Rejecting their bail plea, Special Judge Goyal observed that the “transaction” in the account “does not appear to have arisen due to genuine business”. “The accused are habitual offenders of bank frauds and if the bail is granted, they would again cheat some other person. Also revealed from sources that 20 cheque bouncing (NI Act) cases are pending against them and their family members in various courts in Delhi,” the special court said.

The CBI had contended that the accused may influence the witness if they are granted bail. The CBI had registered a case after the DGM of Canara Bank lodged a complaint against the accused of diversion of funds after taking a loan.

A Rs 45 crore loan was provided to the company, of which Rs 24.64 crore was allegedly diverted to sister concerns of the company. The CBI had stated that this Rs 24.64 crore later turned into a Non-Performing Asset (NPA), thereby causing a loss to the bank. “Such diversion caused depletion of working capital, turning into an NPA,” the CBI had said.

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