CBI court imposes ₹100 crore fine on two Turkish nationals in urea scam case

A special CBI court on Thursday imposed ₹100 crore fine on two Turkish nationals in the 23-year-old ₹133 crore urea scam case and sentenced them to six years rigorous imprisonment along with the kin of former PM Narasimha Rao and an ex-union minister.

A special CBI court on Thursday imposed one of the highest penalties in corruption cases — ₹100 crore — on two Turkish nationals in the 23-year-old ₹133 crore urea scam case and sentenced them to six years rigorous imprisonment along with the kin of a former prime minister and an ex-union minister, officials said.

Former Prime Minister PV Narasimha Rao’s (pictured) relative Sanjeeva Rao and former union minister Ramlakhan Singh Yadav’s son Prakash Chandra Yadav have also been convicted in the urea scam case.(Archives)

Along with Turkish nationals Tuncay Alankus and Cihan Karanci, both former executives of Karsan Ltd, the Tis Hazari court also convicted the company’s Indian representative M Sambasiva Rao, former CMD of National Fertilizer Limited (NFL) CK Ramakrishnan, former NFL executive director Dilbag Singh Kanwar, D Mallesam Goud, former union minister Ramlakhan Singh Yadav’s son Prakash Chandra Yadav and former PM PV Narasimha Rao’s relative Sanjeeva Rao in the case, they said.

The court sentenced Ramakrishnan and Kanwar to three years imprisonment and imposed ₹6 lakh fine, Sambasiva Rao to three years imprisonment and ₹5 crore fine, Goud to three years imprisonment and ₹5 crore fine, Sanjeeva Rao to three years jail and ₹one crore fine, and Yadav to three years jail and ₹one crore fine, CBI spokesperson Abhishek Dayal said.

The CBI had registered the urea scam case on May 19, 1996, on allegations that the accused persons entered into criminal conspiracy and cheated the National Fertilizer Limited to the tune of ₹133 crore, officials said.

“In furtherance of conspiracy, accused Tuncay Alankus of Turkey signed a contract dated January 9, 1995, to supply 2,00,000 MT of urea at the rate of $190 per MT on pre-payment of 100% price which was about $38 million equivalent to ₹133 crore(approx),” the agency said.

Alankus received $3,80,000 on November 2, 1995, as advance for insurance purpose and $37.62 million from NFL on November 14, 1995, which was credited in the account of Karsan Ltd. on November 29, 1995 at Pictet Bank, Geneva, Switzerland but they did not supply urea to NFL.

The agency filed the charge sheet in 1997. It was alleged that Alankus “dishonestly” transferred the amount in various foreign banks and in the account of Karanci. The Indian accused had received the money through hawala channel.