The CBI on Thursday questioned Punjab Chief Minister Capt Amarinder Singh's son-in-law Gurpal Singh (deputy manger) and ex-CEO of Simbhaoli Sugars GSC Rao in its probe related to Rs 109 crore fraud with Oriental Bank of Commerce.
In a related development, the Enforcement Directorate (ED) has registered a money laundering case against Simbhaoli Sugars limited and its executives in connection with an alleged bank loan fraud of Rs 97.85 crore. Simbhaoli Sugars limited is one of the largest sugar mills in the country. The CBI had registered a case against the sugar mill, its Chairman Gurmit Singh Mann, Deputy Managing Director Gurpal Singh and others in connection with the alleged bank loan fraud case.
The company's Chief Executive Officer G S C Rao, CFO Sanjay Tapriya, Executive Director Gursimran Kaur Mann and five non-executive directors have also been booked by the agency.
The CBI had carried out searches at eight premises including residences of the directors, factory, corporate office and registered office of the company in Delhi, Hapur and Noida.
The probe focuses on two loans — Rs 97.85 crore which was declared fraud in 2015 and another corporate loan of Rs 110 crore which was used to repay the previous loan. The second loan was declared Non Performing Asset (NPA) on Nov- 29, 2016, nearly 20 days after scrapping of Rs 1,000 and old Rs 500 notes was announced, according to the CBI FIR. The bank was allegedly cheated to the tune of Rs 97.85 crore, but the loss incurred by the bank is Rs 109.08 crore, the FIR read.
The lender, Oriental Bank of Commerce, complained to the CBI on November 17, 2017, but the agency registered a case of criminal conspiracy and cheating under the Prevention of Corruption Act on February 22.
The ED officials said that after a case was registered by the central probe agency under the Prevention of Money laundering Act (PMlA)and the searches were conducted by it in Hapur and Noida on Wednesday. "Some documents have been recovered and seized by the sleuths during the raids. Financial details about the company and its officials have also been obtained by the ED from various banks," a senior official said.
"It will investigate if the allegedly defrauded bank funds were laundered and proceeds of crime were subsequently used by the accused to create illegal assets and black money," it said.