Nagpur-based businessman, son held by CBI in Kolkata for cheating banks
The Jayaswals’ company allegedly took huge loans from over 20 banks even before the group started its mining activities and power production.india Updated: Jun 13, 2017 23:17 IST
The Central Bureau of Investigation (CBI) arrested Nagpur-based businessman Manoj Jayaswal and his son Abhishek for allegedly causing a loss of Rs 290 crore to Vijaya and Canara banks.
The duo was arrested along with a former deputy general manager of a nationalised bank from Kolkata on Monday night.
The Jayaswals had floated Abhijeet Group for mining and thermal power projects. The company allegedly took huge loans from over 20 banks even before the group started its mining activities and power production. The outstanding amount of these banks reached over ₹11,000 crore.
According to a source, the company was allegedly “pampered” by a former Union coal minister, a Rajya Sabha member and a very influential BJP politician from Nagpur and saw a meteoric rise during UPA regime.
In just eight years of setting up the group, Manoj Jayaswal became a force to reckon with in the business circle in Mumbai and Delhi.
It is alleged that Jayaswal’s political connections, both in Congress and BJP, helped him move swiftly from one industry to another. Starting with infrastructure and road projects, he rapidly diversified into power, ferro alloys, steel, and mining.
After the coal block allocation case, Jayaswal was booked by CBI for bank frauds in October 2015. The agency, which raided his residence and offices during the period, filed an offence against him for fraudulently availing a letter of credit facility from Canara and Vijaya Bank.
Searches were conducted, which led to recovery of several incriminating documents.