Kolkata, Sept. 3 -- The Enforcement Directorate (ED) carried out extensive search operations at 11 locations Kolkata and adjoining areas in connection with a massive Rs 290-crore bank fraud case involving a private company named Kohinoor Power Private Limited.
The central agency targeted the residential and business premises of the company's promoters, Prashant Bothra and Vijay Bothra, alongside several directors and auditors associated with the firm.
According to sources, Kohinoor Power Private Limited had availed loans worth Rs 290 crore from several banks under the pretext of setting up a 66-megawatt power plant in Jharkhand. However, subsequent investigations revealed that the sanctioned funds were never utilised for the project. Instead, the money was allegedly siphoned off through a web of companies and diverted to other group entities for personal enrichment.
The account later turned into a Non-Performing Asset (NPA). The company was subsequently dragged into insolvency proceedings before the National Company Law Tribunal (NCLT). During the liquidation process, the banks managed to recover about Rs seven crore, resulting in a staggering loss of over Rs 280 crore.
Published by HT Digital Content Services with permission from Millennium Post.