Just days after millionaire jeweller Nirav Modi’s massive banking scam came into limelight, the Central Bureau of Investigation (CBI) has now filed an FIR against Vikram Kothari, chief of Rotomac Pens, for wilfully defrauding loans worth crores of Rupees from various banks.
CBI’s official criminal complaint states that Kothari indulged in misappropriation of funds and wilful default by not repaying loans from various nationalized banks to the tune of Rs. 3,695 crore. The FIR was lodged after CBI received a complaint from Bank of Baroda.
Investigative agencies and local police sprang into action immediately and sealed offices and residences of the businessman in various cities, including Kanpur in Uttar Pradesh and New Delhi. The FIR has named Rotomac Global Pvt. Ltd’s directors Vikram Kothari, Sadhana Kothari and Rahul Kothari, as primary accused persons.
Eleven bank accounts of the company have been attached and several offices have been raided for assessment of documents and records. Apart from CBI’s FIR, the Enforcement Directorate (ED) has also filed a case of money laundering and FEMA violations against Kothari.
Banks involved in this case had already begun their own crackdown on Kothari’s businesses by declaring them non-performing assets over six months ago. They had initiated insolvency proceedings against the company for the purposes of recovering their dues.
Kothari addressed some reporters after CBI’s raids and said he would not run away from the country. He also defended himself by explaining that he has not indulged in any fraud and that he already has litigation pending against some banks in the National Company Law Tribunal (NCLT), which is why he should not be termed as a wilful defaulter.