CBI raids premises of PSL, seizes $90,000 and Rs 1.99 cr in cash

On Thursday, searches were conducted in Mumbai, Daman, Kutch, Noida and Delhi. “During the searches at the Andheri office of the whole time director of PSL Ltd, Devki Nandan Sehgal, US dollars 90,413 and Rs 1.99 crore (approximately) in Indian currency were seized,” a CBI officer said.

The first case was registered against PSL, its directors, managing director and some unidentified accused on a complaint by e-Syndicate Bank (now Canara Bank). The bank has alleged that PSL defrauded it of Rs 30.49 crore. “It has been alleged that the company, which manufactures pipes and pipe coating, availed credit facilities from e-Syndicate Bank and thereafter diverted the funds into its subsidiary companies,” a CBI officer said. In the second case, Oriental Bank of Commerce (now merged with PNB) has alleged that the company defrauded it to the tune of Rs 51.90 crore.

It has alleged that PSL availed credit to execute work orders from GAIL and NTPC but siphoned off the money, a CBI officer said.

The third case is based on a complaint by IDBI Bank, which has alleged that the company has defrauded it of Rs 29.06 crore. The company allegedly took loans from the bank for various projects but instead used it to repay dues of other banks, the CBI said.

The fourth complaint is by EXIM Bank, which was allegedly duped of Rs 105.92 crore by the company. The company availed credit facilities to execute work orders but allegedly diverted the money for other purposes.