CBI books private firm, directors for bank loan fraud

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New Delhi, Mar 11 (PTI) The CBI has booked Parikh Fabrics Private Limited and its directors for alleged bank fraud for Rs 173.76-crore loan default nine years ago in a consortium led by State Bank of India, officials said on Thursday.

After booking the company and its directors Nikhil B Parikh and Rita Parikh, the CBI has carried out searches at two locations in Hyderabad and one in Chennai, they said.

The account of the company which had availed credit facilities from the largest public sector bank from 2013 to 2010 was declared a non-performing asset on August 30 in 2011, CBI spokesperson R C Joshi said.

'It was also alleged that the accused diverted funds and manipulated books of accounts, causing loss to the tune of Rs 173.76 crore (approximately) to the bank,' he said. PTI ABS SMN SMN