The Central Bureau of Investigation has booked Arihant Coal Sales (I) Private Limited and its senior functionaries for allegedly cheating the Bank of Baroda (BoB) to the tune of ₹112.56 crore.
The company is engaged in the wholesale trade of coal. It earlier enjoyed credit facilities from the State Bank of India. In 2010, the company promoters approached the BoB for grant of cash credit limit of ₹30 crore, standby line of credit of ₹5 crore and inland/foreign letters of credit of ₹45 crore. The loans were sanctioned in November 2010. Subsequently, the limits were enhanced twice.
The loan account was in order till August 10, 2017, but then eight letters of credit amounting to ₹90 crore devolved one after the other till January 2018, following which it was classified a non-performing asset.
