CBI files FIR against Rotomac promoter Vikram Kothari, others in Bank of Baroda loan default case

The CBI said it registered a case against pen maker Rotomac Global, its directors and unknown bank officials over unpaid bank loans to the tune Rs 2,919 crore based on a complaint by the Bank of Baroda.

The Central Bureau of Investigation (CBI) on Sunday registered a case against pen maker Rotomac Global, its directors Vikram Kothari, Sadhana Kothari and Rahul Kothari, and unknown bank officials in connection with an alleged Rs 2,919 crore loan scam.

Rotomac director Vikram Kothari borrowed more than Rs 800 crore from at least five state-owned banks, including Allahabad Bank, Bank of India and Union Bank of India. (HT File Photo)

The case was registered based on a complaint by the Bank of Baroda, following which raids were conducted at the home and offices of Vikram Kothari on Monday morning.

“It was alleged in the complaint that in the Rotomac case, conspirators cheated a consortium of 7 banks by siphoning off bank loans to the tune of Rs 2,919 crore (principal amount),” an official with the CBI said, adding that this does not include the interest liabilities of these loans.

The total outstanding amount, along with interest liabilities for M/s Rotomac, is Rs 3,695 crore.

The complaint by Bank Of Baroda comes within days of Punjab National Bank unearthing a Rs 11,400 crore-fraud involving billionaire jeweller Nirav Modi and his uncle, Mehul Choksi.

(With input from Reuters)