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Haryana: 3 Panipat men sentenced in ₹12.17-crore loan fraud case
According to defence counsel, convict Satish Kumar was sentenced to two and a half years of imprisonment along with a fine of ₹50,000.
A local court in Panchkula on Monday sentenced three residents of Panipat district to jail terms ranging from one and a half years to two and a half years in a cheating and forgery case registered by the Central Bureau of Investigation (CBI), Chandigarh, on December 12, 2020. The trio was held guilty on October 30 under various sections of the Indian Penal Code (IPC).
According to defence counsel, convict Satish Kumar was sentenced to two and a half years of imprisonment along with a fine of ₹50,000. Charan Singh received a two-year jail term and a fine of ₹30,000, while Shri Krishan was sentenced to one and a half years in jail and fined ₹20,000. However, the detailed judgment had not been uploaded till late Monday evening.
The case was registered on the complaint of Ved Parkash Mishra, who was then the chief regional manager of Indian Overseas Bank, regional office, NCR Delhi. The FIR was filed against M/s Pragati Feeds, its partners Satish Kumar and Charan Singh along with Shri Krishan and other unknown persons and public servants.
M/s Pragati Feeds, a partnership firm, had been availing various credit facilities from Indian Overseas Bank since 2013, including term loans for the construction of a shed, purchase of plant and machinery and manufacturing of poultry feed.
It was alleged that in February 2017, the firm submitted a renewal-cum-enhancement proposal to the bank with the intention to cheat. The accused submitted false and fabricated documents to obtain higher drawing power, despite having leased out their unit to another firm in December 2016 without informing or seeking permission from the bank. The loan funds were allegedly misused for purposes other than those for which they were sanctioned, resulting in a wrongful loss of ₹12.17 crore to the bank.
The complaint further stated that the accused submitted fake and forged audited balance sheets during the renewal-cum-enhancement process in 2017. They also allegedly diverted loan funds through personal accounts of relatives and associated firms without carrying out genuine business transactions, indicating a deliberate intent to cheat the bank and default on repayment.
