Initially, the alleged scam was estimated to be of Rs 800 crore but after the CBI started to probe into the accounts of the company, it was found that the company had allegedly taken loans from Bank of India, Bank of Maharashtra, Indian Overseas Bank, Union Bank of India, Allahabad Bank and Oriental Bank of Commerce.
The CBI alleged that the accused had cheated a consortium of seven bank by siphoning off bank loans to the tune Rs 2,919 crore.
The total outstanding amount along with interest and liabilities for the company were pegged at Rs 3,695 crore, the CBI alleged. Immediately after registering the case, the CBI carried out searches at three locations in Kanpur which included Kotharis residence and office premises.
While making clear that no arrests have taken place in the case so far, CBI spokesperson Abhishek Dayal said Kothari, his wife and son were being examined by the CBI.
According to the CBI officials, the company allegedly used two modus operandi for siphoning off the loans secured from consortium of banks from 2008 onwards.
Credit sanctioned and loan disbursed to the company was utilised for the purposes, other than executing export orders. PTI
Source : http://assamtribune.com