CBI files complaint against Mumbai company for allegedly cheating SBI of ₹70 crore

The agency has alleged that between 2015 and 2017, the company and its directors "hatched a criminal conspiracy" to commit forgery and to cheat the State Bank of India

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The Central Bureau of Investigation (CBI) has booked the senior of a Mumbai-based company,  for allegedly cheating State Bank of India of ₹70 crore by submitting forged documents for availing loans which remained unpaid.

The officials said on Wednesday that a complaint has been filed a complaint against Livewel Air Team Private Limited's Chairman and Managing Director Manek Daver and Chief Executive Officer Burzin Daver besides the company as accused.

The agency has alleged that between 2015 and 2017, the company and its directors "hatched a criminal conspiracy" to commit forgery and to cheat the State Bank of India. The FIR against the company also states that they created forged documents and signatures of an auditor on financial statements which were submitted to the Bank for availing credit facilities.

Based on these forged documents, the company "induced the bank" to avail credit facilities to the tune of ₹61 crore during the period.

The bank had sanctioned the credit limit to meet the fund requirement for business activities which included providing engineering and infrastructure facilities for narrow-bodied aircraft, cabin interior refurbishment services for commercial airlines among others, the FIR further said.

Accordingly, the SBI appointed an auditor to carry out a stock audit of the company who found "glaring irregularities and instances of fraud".

Meanwhile, the company had shown Sanjay Jha and Associates as its statutory auditor and used financial statements for the year 2015-16 to avail credit limits from the SBI.

However, on January 20, 2017, the auditor informed the bank that they are not the statutory auditor of LATPL, and they had not signed the financial statement. The said financial statement was submitted by the borrower with the bank for renewal of credit facilities and drawing money from the sanctioned limits," the SBI complaint, now part of the FIR, said.

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