CBI books Hyderabad-based firm for cheating SBI

The CBI has booked the promoters of a Hyderabad-based construction and leasing company, for alleged criminal conspiracy and cheating in availing of loans which turned into NPAs, causing a loss of Rs 8.20 crores to SBI

The CBI has filed an FIR against Hyderabad-based BNR Infra and Leasing Limited, its promoters B Narasimha Reddy, S Bindusagar Reddy, advocates Nellutla Jagan, V Narasinga Rao and D Prabhakara Reddy and valuer N Datatreyudu and L Kishore Chand, under IPC sections related to criminal conspiracy, cheating and forgery, among others. The FIR has been registered on the basis of a complaint from the State Bank of India (SBI).

In its complaint, SBI alleged that the company was given a cash credit facility of Rs two crores and bank guarantee limit of Rs one crore in 2011, on the basis of collateral security of land measuring 16,940 sq yards in the name of B Narasimha Reddy, who was the proprietor. The credit facilities were increased over the period, on the basis of several other collateral securities furnished by him. In the meanwhile, the company was changed into a partnership firm with Bindusagar Reddy being added as a partner. In 2015, the loans taken by the company were declared as non-performing assets (NPAs) with Rs 8.20 crores outstanding.

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During the loan recovery proceedings under the SARFAESI Act, the bank realised that the collateral security document mortgaged for the purpose by the borrower, was not enforceable and the bank could not recover its amount. It is alleged that the promoters supplied forged documents, to show that the land was non-agricultural land. The valuation report was also forged, assessing the value of property at Rs 4.66 crores. The bank valuers also allegedly submitted fraudulent reports, to say that property submitted as collateral was non-agricultural.

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