Millennium Post

Stopped Rs100 crore loans to Bhushan Steel, Prakash Industries from being declared NPAs

Suspended Chairman and Managing Director of Syndicate Bank S K Jain, arrested by CBI on graft charges, had allegedly prevented loans of over Rs 100 crore on Bhushan Steel and Prakash Industries from being declared as non-performing assets, agency sources said on Monday.

CBI has also alleged that Jain used to negotiate directly with the companies on the bribe amount and once the deal was struck, he used hawala channel to receive the money, the sources said. They alleged that once the bribe amount was agreed upon, the company used to pay hawala operator who forwarded the payment to other businessmen who finally made the payment to brother-in laws of Jain in Mumbai who too have been arrested.

CBI  said the bad loans for Prakash Industries allegedly were about 20 million US Dollars (approximately Rs 120 crore). They said CBI is still looking for two alleged middlemen — realtor Purushotam Totlani and Neeraj Singal, Vice-president and Managing Director of Bushan Stee. No reaction was available from Bhushan Steel and Prakash Industries on the issue.
Next Story
Share it