The Central Bureau of Investigation (CBI) has booked Dharampal Iron and Steel Pvt. Ltd’s promoters and others for allegedly cheating Bank of Baroda to the tune of ₹ 63.44 crore.
Among those arraigned are Dharampal Iron and Steel Pvt Ltd’s Directors, Varun Vijay Gupta, Divya Vivek Gupta, unidentified employees, and officials of the bank.
Important to note here is that in December 2020, CBI registered a case against M/S/ Steel Konnect India Pvt Ltd (MIS SKIPL) company’s directors Varun Vijay Gupta, Vivek Vijay Gupta, and others for allegedly swindling funds of Rs 100 crore.
CBI took 1 year to register a complaint:
Way back in 2016, Dharampal Iron and Steel Pvt Ltd was declared NPA but the Bank of Baroda gave a complaint in 2021 and it took CBI one year to register a complaint.
It is alleged that the company diverted Rs 92 crore out of the total loan of Rs 100 crore. In December 2016 the account was declared NPA and in September 2019 a cash audit of the company revealed fraud as it was found that the company diverted funds to various institutes. Some of them are identified as Dharampal Iron and Steel Private Limited, Jagat Infra Project, Anupam Industries Limited, Bishwesharlal Steel, Chhapaiah Trading Company, D.M. Trading Co. Avanti Trading Co., Dev Steel Traders, and Vraj Traders in its books of accounts.