The Special Judge for CBI Cases, Hyderabad, on Tuesday sentenced R.P. Garg, former Assistant General Manager of Punjab National Bank, Banjara Hills, and three others, in a bank fraud case registered in February 2016.
The court docket sentenced Mr.Garg, Jitender Kumar Agarwal, then MD of M/s. Sheetal Refineries Limited, authorised signatory Sudhir Bhuraria and Manish Bhuraria to bear 5 years of rigorous imprisonment and pay a positive of ₹75,000 every. The court docket additionally imposed a positive of ₹2 lakh on the non-public firm.
According to a launch, CBI had registered the case on February 19, 2016 in opposition to M/s. Sheetal Refineries Limited and its administrators on the allegations of committing bank fraud and inflicting a loss of ₹53.82 crore to Punjab National Bank.
It was alleged that the accused had availed credit score amenities from PNB Large Corporate Branch, Hyderabad, and offered false info to the bank together with with respect to share utility cash, false inventory statements for availing the credit score amenities and audited stability sheets.
It was additional alleged that through the related interval, the accused opened 4 Letters of Credit (LCs) and the circumstances within the LCs weren’t uniform. It was additionally alleged that the then AGM had not checked the distinction within the quantity of invoices and affirmation letters which resulted in extra cost by the bank to the borrower.
Regarding transportation of items, the mentioned AGM had not imposed the situation to move by means of IBA-approved transporters and allowed the accused individuals to submit lorry receipts the place the transporter was not within the permitted listing of IBA.
The LC phrases and circumstances had been additionally amended with out the approval of the sanctioning authority and thereby, exceeded the delegated powers.
A cost sheet was filed in opposition to six accused individuals after investigation in opposition to Mr. Garg, M/s. SRL and its MD and others. The then CMD of SRL had died and the case in opposition to him was abated by the trial court docket.
