Videocon Group Under Scrutiny for Massive Rs 61,700-Crore Bank Loan Fraud

Delhi court issued notices to Videocon Group's Venugopal Dhoot and several entities over Rs 61,700-crore loan fraud. Funds allegedly diverted from loans meant for overseas oil and gas projects, channeled through complex networks for unrelated ventures. Enforcement Directorate reveals substantial misuse of funds in Mozambique-linked transactions.

The Videocon Group is under legal scrutiny as a Delhi court issued notices to promoter Venugopal Dhoot and 12 other entities following a chargesheet for an alleged Rs 61,700-crore bank loan fraud. The case pertains to loans tied to the company's oil and gas assets in Mozambique.

The chargesheet, initiated by the Enforcement Directorate, highlights alleged fund diversion from foreign currency loan facilities, including those sanctioned by an SBI-led consortium. The funds were reportedly misused for purposes unrelated to their sanctioned objectives, like personal and corporate investments.

Authorities claim that a significant part of the USD 4.54 billion facility was routed through a complex web of overseas companies and later 'layered' back to India, contravening the intended development goals. The Videocon Group was unavailable for immediate comment on these allegations.