CBI books jewellery firms for Rs 352 crore fraud in SBI

NEW DELHI: The CBI has booked three Jalgaon-based jewellery companies for alleged loan fraud of over Rs 352 crore in the State Bank of India, officials said on Wednesday.

In three separate FIRs, the agency has named Rajmal Lakhichand Jewellers Pvt Ltd, RL Gold Pvt Ltd, and Manraj Jewellers Pvt Ltd, and their promoters-directors-guarantors -- Ishwarlal Shankarlal Jain Lalwani, Manish Ishwarlal Jain Lalwani, Pushadevi Ishwarlal Jain Lalwani and Neetika Manish Jain Lalwani -- as accused.

According to the SBI complaint to the Central Bureau of Investigation (CBI), Rajmal Lakhichand Jewellers caused a loss of Rs 206.73 crore, RL Gold Rs 69.19 crore loss and Manraj Jewellers Rs 76.57 crore to the bank.

The three companies allegedly transacted business with their associate firm Rajmal Lakhichand, the largest debtor among the four companies. They also involved three named in the FIRs -- Rajmal Lakhichand Jewellers Pvt Ltd, RL Gold Pvt Ltd, and Manraj Jewellers Pvt Ltd.

The purchase and sale of all four companies were primarily routed through Rajmal Lakhichand, the SBI has alleged.

The accounts of the FIR-named companies show payments made to Rajmal Lakhichand for purchases, but they said that receivables for products sold to it are shown as outstanding.

The three companies had allegedly sold goods worth Rs 10,187 crore to partnership firm Rajmal Lakhichand during the financial year 2010-11 to 2017-18 and purchased goods worth Rs 9,925 crore, they said.

Despite requests from forensic auditors, the financials of the company Rajmal Lakhichand were not provided by the promoters, it alleged.

The bank has alleged that fixed assets charged with the bank were disposed of without knowledge.

''The promoters/guarantors have gone to the extent of selling the mortgaged properties without seeking the bank's permission. This resulted in the loss of security against which huge loans have been advanced and that the recovery of the loans has been seriously jeopardized,'' the SBI complaint said.

The bank has alleged that the companies availed credit facilities from the State Bank of India and misappropriated them by diverting them for other use rather than for the purpose they were sanctioned for.

''Borrowers and associates submitted false or inflated financials and stock statements of the company with dishonest intention to cheat the bank by misappropriating public funds,'' it alleged.