IMPORTANT ADVISORY

The CBI has registered an FIR against Fedders Electric and Engineering Limited and its the then Directors and former directors for allegedly cheating an SBI-led consortium of banks to the tune of Rs 1,028.94 crore, officials said.

The central probe agency had conducted a search operation on July 16 at seven locations in Delhi, Noida, Gurgaon and Bulandshahr.

''It has been alleged in the complaint that the accused including private company and its Directors had cheated the banks by way of diversion of funds and sham transactions with related parties,'' a CBI spokesperson said.

The agency has alleged that the company produced fabricated account books, misrepresented figures to borrow funds and siphoned off various loan proceeds. The allegations were based on forensic audit report, the spokesperson said.

Along with the company, the CBI has also booked its the then wholetime Director and suspended Chief Financial Officer Akhtar Aziz Siddiqi, wholetime Director and suspended director in CIRP Sham Sundar Dhawan, ex-directors Bindu Dogra, Ritushri Sharma, Arun Kumar Joshi and Randheer Jain. The accused have been booked for allegedly committing cheating, criminal conspiracy, criminal breach of trust, criminal misconduct and forgery, the CBI FIR alleged. Later, three accused ex-directors Dogra, Sharma and Joshi said they were associated with Fedders Electric and Engineering Limited ''in the capacity of a ‘Non-Executive Independent Director’ only (attached Form 32 ; 2013-2017)'' and they were ''not involved in the day to day functioning and management of the company''.

They said the search carried out by the Central Bureau of Investigation yielded no incriminating evidence against them and the same has been sufficiently documented. They said they were sure that they will be exonerated at the relevant stage. In a statement on July 16, the CBI spokesperson had said, ''The Central Bureau of Investigation has registered a case on a complaint from State Bank of India, New Delhi against private company (borrower company) and others including its Directors/Promoters for causing an alleged loss of Rs. 1028.94 crore (approx.) to SBI and other consortium member banks.'' 

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)