New Rs 37000000000 bank fraud..CBI raids Rotomac Pen's Kothari

New Delhi, Feb 19: There is further embarrassment for the Narendra Modi government on the corruption front. Close on the heels of the PNB scam, CBI has now unearthed a Rs 3,695 crore scam involving seven banks, and has filed a FIR against Rotomac Pens promoter Vikram Kothari and others. All the accused have  been booked for deliberatley defaulting on laons taken for business.

Earlier, the loan default was put at Rs 800 crore, but CBI revised the figure after scrutiny of documents.

According to CBI, Rotomac has siphoned off bank loans worth Rs 2919 crore, without interest. With interest liablities the figure goes up to Rs 3,695 crore. The banks which have been cheated are Bank of India, Bank of Baroda, Bank of Maharashtra, Indian Overseas Bank, Union Bank of India, Allahabad Bank and Oriental Bank of Commerce.

After registering the case, the CBI on Monday raided several locations in Kanpur in connection with loan default by the Rotomac Pen company's chief Vikram Kothari, an official said. Kothari is the chairman and MD at the Kanpur-based Rotomac Global Private Limited.

Kothari's Mall Road office in Kanpur was found shut since last week.

The Central Bureau of Investigation's raid which was going on in three locations in Kanpur followed a complaint received from the Bank of Baroda.

"Kothari, his wife and son are being questioned in Kanpur," a CBI official told IANS.

News24Bureau/IANS