The summons were issued as part of the CBI's probe into a case of electrical equipment manufacturer, Best and Crompton, allegedly cheating the Andhra Bank of Rs 71 crore in 2017.
The CBI has issued summons to former Union Minister and Telugu Desam Party (TDP) leader Y S Chowdary for questioning in connection with a multi-crore bank fraud case. The agency has asked him to appear before the investigators at its Bengaluru office on Friday as part of its probe into the case of electrical equipment manufacturer Best and Crompton Engineering Projects Ltd allegedly cheating the Andhra Bank of Rs 71 crore in 2017.
The Central Bureau of Investigation (CBI) on February 3, 2017 had registered a case against the Chennai-based company, its five directors, including Managing Director Kakulamarri Srinivas Kalyan Rao, and a chief financial officer under charges of criminal conspiracy, cheating and forgery.
In a statement, Chowdary said, "Since 2003, I was holding only non-executive positions in three listed entities of Sujana group, namely, Sujana Universal Industries Limited, Splendid Metal Products Limited and Neueon Towers Limited with no powers of management of the companies till October 2014. It is further to mention that I was not holding any executive or non-executive positions in any corporate entity since October 2014 including the above listed three entities.""The summons which I received from CBI is in respect of Best and Crompton Engineering Projects Limited. I confirm that I am not having any connection, knowledge or acquaintance with the Company referred by them or its affairs at any point of time. I will be taking appropriate steps in this matter," he added.
Just earlier this month, the Enforcement Directorate (ED) said that it had attached immovable and movable properties of Viceroy Hotels Ltd., Hyderabad worth Rs 315 crore under the Prevention of Money Laundering Act, 2002 in a bank fraud case, in which Chowdary's name was also allegedly involved.
In their statement to media, the ED said an investigation under PMLA was initiated on the basis of an FIR registered by CBI, Bangalore against Best & Crompton Engineering Pvt Ltd (BCEPL) and their officials for the criminal conspiracy between 2010-2013 to defraud Central Bank of India, Andhra Bank and Corporation Bank.
The total loss caused to the consortium of banks due to the fraud was to the tune of Rs 364 crore.
In the business premises of Sujana Group at Nagarjuna Hills, Punjagutta Hyderabad, 124 rubber stamps of different companies/entities were seized, including the rubber stamps of BCEPL, their Letter of Credit beneficiary companies, sundry debtors and trade associates, ED officials said.
IANS inputs
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