Hyderabad: The Central Bureau of Investigation has issued an FIR against PCH Marketing Private Limited, which runs electronics chain stores, for defrauding the State Bank of India of Rs 205 crore. The CBI alleged that Hyderabad-based PCH promoters were involved in diverting the loan amount.
Based on a complaint from SBI deputy general manager BG Sudha Rathna, the CBI registered a case of criminal conspiracy and cheating under IPC and Prevention of Corruption Act sections. The CBI named PCH chairman Huzur Singh, managing direcotr Sutinder Singh and director Komal Singh and public servants.
A forensic audit report by auditors MM Reddy and Company revealed that the accused had colluded together and committed forgery by manipulation, submission of fake financial statements, fabrication of fictitious transactions, diversion of funds and misappropriation of funds for purposes other than released by the bank.
The company has overstated stock and book debts statements intentionally to the tune of Rs 155 crore. It also siphoned off Rs 91 crore and Rs 44 crore in 2014-15 and 2015-16 in the name of writing off loans, the CBI alleged.
The account of PCH was classified as a non-performing asset on March 31, 2014. The fraud had taken place at SBI’s commercial branch, Secunderabad, from where the accused diverted the funds.
Several properties of the accused company mortgaged to the bank are caught in legal disputes. The CBI had earlier issued FIRs against PCH.
The Enforcement…
Based on a complaint from SBI deputy general manager BG Sudha Rathna, the CBI registered a case of criminal conspiracy and cheating under IPC and Prevention of Corruption Act sections. The CBI named PCH chairman Huzur Singh, managing direcotr Sutinder Singh and director Komal Singh and public servants.
A forensic audit report by auditors MM Reddy and Company revealed that the accused had colluded together and committed forgery by manipulation, submission of fake financial statements, fabrication of fictitious transactions, diversion of funds and misappropriation of funds for purposes other than released by the bank.
The company has overstated stock and book debts statements intentionally to the tune of Rs 155 crore. It also siphoned off Rs 91 crore and Rs 44 crore in 2014-15 and 2015-16 in the name of writing off loans, the CBI alleged.
The account of PCH was classified as a non-performing asset on March 31, 2014. The fraud had taken place at SBI’s commercial branch, Secunderabad, from where the accused diverted the funds.
Several properties of the accused company mortgaged to the bank are caught in legal disputes. The CBI had earlier issued FIRs against PCH.
The Enforcement…
