CBI opens 2 new bank fraud probes

The Central Bureau of Investigation (CBI) on Saturday registered a case against former UCO Bank chairman and managing director (CMD) Arun Kaul and others over alleged fraud.

A CBI spokesperson said, apart from Kaul, the case was also registered against Era Infra Engineering India Ltd and its chief managing director Hem Singh Bharana, two chartered accountants and others.

They were accused of defrauding the bank to the tune of ₹621 crore allegedly by diverting and siphoning of the bank loans.

“The loans were not utilised for the sanctioned purpose and were secured by producing false end-use certificates issued by the CAs and by fabricating business data,” he said, adding Kaul helped the accused.

The CBI also conducted searches in New Delhi and Mumbai in connection with the case.

It also filed another case against SSK Trading Pvt. Ltd, its directors and others on charges of the defrauding the Punjab National Bank and consortium of other banks to the tune of ₹187.29 crore. Phone calls to corporate office of Era Infra and an email to SSK Trading remained unanswered.