CBI action: 3592 crore fraud case filed against Frost International and its directors
- Case filed against Frost directors Uday and Sujay Desai, besides 10 others.
- Allegations of cheating of consortium of 14 banks through fake documents and guarantors.
NEW DELHI: The CBI on Tuesday registered a fraud case against Frost International of Mumbai and its directors. According to a CBI official, a case has been registered against 11 people apart from Frost directors Uday and Sujay Desai. These people are alleged to have cheated Rs 3,592 crore from a consortium of 14 banks.
According to the CBI, this case has been registered on the complaint of the Regional Office at Kanpur of Bank of India. These people committed fraud by deceiving the business. These people took loans from the Bank of India-led consortium and did not repay on the due date.
The bank also issued a look out circular
The complaint states that the company, its directors, guarantors and some others obtained funds from the bank through fake documents and manipulated the funds. The company and its directors defrauded Rs 3,592.48 crore through this fraud. The bank issued a lookout circular against Uday and 10 others on 18 January 2019. After this, another circular was issued at the behest of Indian Overseas Bank.
