CBI files FIR against associate company of ABG Shipping for cheating banks
Apr 14, 2023
New Delhi [India], April 14 : The Central Bureau of Investigation (CBI) has registered an FIR against PFS Shipping India Ltd, a ship-owning unit of ABG Shipping, for allegedly causing a wrongful loss of Rs 163.80 crore to a consortium of banks.
PFS Shipping India, earlier known as ABG Shipping Ltd., was a ship-owning unit of ABG Shipyard.
In 2022, CBI registered a case against ABG Shipyard, a Gujarat-based firm that purportedly defrauded banks of Rs 22,842 crore.
The FIR mentioned the names of its directors, namely, Ashok Kumar Agrawal, Kamlesh Kumar Agrawal and Dhananjay L Datar, in the list of accused persons. The consortium of banks, which was led by Bank of India, Tokyo Branch, includes Canara Bank, London Branch, and Indian Overseas Bank, Singapore Branch.
The company failed in submitting periodic instalments and interest in collusion with its directors/promoters has tried to dispose the bank guarantee with the banks. The company along with its directors/promoters has wilfully siphoned off banks' funds for purposes other than its credit requirements and in the process, they have evaded repayment of funds extended to them, according to the FIR.
The bank's funds were diverted for purposes other than the reason for which the credit facilities were advanced to the company by the lenders. The consortium suspects it willfully diverted the funds received from the banks.
During the forensic audit conducted by M K Aggarwal & Co, it was found that a huge amount was diverted by the accused company to its subsidiary company. According to the FIR, the said act on the part of the named suspects showed the offence of criminal conspiracy, cheating, fraud, forgeries, using false and falsified documents for committing misappropriation of funds and criminal breach of trust committed by them against the lenders.
