Rotomac Kothari owes various banks Rs 3,695-cr: CBI files FIR

News Network
February 19, 2018

New Delhi, Feb 19: The Central Bureau of Investigation (CBI) has registered a case against Rotomac pen promoter Vikram Kothari and his family in connection with a case related to the alleged swindling of Rs3,695 crore of bank loan funds, officials said here on Monday. The scam was earlier estimated at around Rs800 crore.

The case against Kanpur-based Rotomac Global Pvt. ltd, its director Vikram Kothari, his wife Sadhana Kothari, and son Rahul Kothari and unidentified bank officials was filed on a complaint received from Bank of Baroda, they said.

The agency searched three locations in Kanpur, including Kothari’s residence and office premises. There have been no arrests in the case yet, CBI spokesperson Abhishek Dayal categorically said. He said Kothari, his wife and his son are being examined by the CBI, which is conducting the searches.

The Enforcement Directorate (ED) has also registered a money laundering case against Kothari and his family members in connection with the alleged bank loan fraud of Rs3,695 crore, officials said. The case was filed under the Prevention of Money Laundering Act (PMLA), after studying the CBI FIR that was registered yesterday.

The ED, the officials said, would probe if the funds obtained through the alleged fraud were laundered and if the proceeds of the crime were subsequently used by the accused to create illegal assets and black money.

According to the complaint from Bank of Baroda, the conspirators allegedly cheated a consortium of bank loans of Rs3,695 crore, including the interest component, officials said. The principal involved is Rs2,919 crore.

This is the second major financial scam to break out after the sensational Rs11,400 crore fraud allegedly committed by billionaire jewellery designer Nirav Modi and his uncle Mehul Choksi, who is a promoter of Gitanjali group of companies. Both fled the country before the Punjab National Bank realised the depth of the alleged crime. 

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News Network
May 19,2020

Hyderabad, May 19: Telangana Chief Minister K Chandrashekar Rao has hit out at the Narendra Modi-led NDA government over the fiscal stimulus package, accusing it of treating states like "beggars" and imposing "laughable" conditions for increasing borrowing limits under the FRBM Act.

"This is 'pure cheating. Betrayal. Jugglery of numbers. All gas. The Centre has reduced its own prestige," he said while referring to conditions linked to the increased borrowing limits for states under the Fiscal Responsibility and Budget Management (FRBM) Act.

Rao cited international journals that had commented on whether the Union Finance Minister's aim was to revive the GDP or to reach the Rs 20 lakh crore number (the stimulus package announced by Prime Minister Narendra Modi).

"This is a very cruel package. It is fully in a feudal policy and dictatorial attitude. We fully condemn this. This is not what we asked for," Rao, who had supported several measures taken by the Centre so far in the fight against coronavirus, said.

At a time when the finances of states were paralysed due to COVID-19 global pandemic, the state governments wanted funds to reach them so that they can help people in different forms, he said. "When we asked for it, you treat states like beggars, what did the Centre do? Is this the way reforms are implemented in India?" he asked during an interaction with media on Monday after a cabinet meeting.

For example, two per cent increase under the Fiscal Responsibility and Budget Management (FRBM) Act (about Rs 20,000 crore in Telangana) has been given.

But, the conditions put are "laughable" and "very nasty" though the loan was to be fully repaid by the state, he said.

Explaining the situation, Rao said Rs 2,500 crore would be given if reforms were implemented in power sector and Rs 2,500 crore would be allowed if reforms in market committees as suggested by the central government are accepted.

"Is this a package? What is this? This cannot be called a package. Very sorry.. This is not the policy to be followed in a federal system... Then what are the state governments for?" the Telangana Rashtra Samithi supremo asked and said they were also constitutional governments and not subordinates.

The CM said he felt anguished and the way the Centre was wielding control over states was against the spirit of federalism.

"Prime Minister ji said cooperative federalism. This has proved that it is totally hollow and bogus," he added.

The state, however, has already fulfilled certain conditions, he added.

On the occasion, Rao also outlined his government's certain policy guidelines for regulatory farming proposed to be implemented.

On the additional water proposed to be drawn by the neighbouring Andhra Pradesh from Srisailam project, he said there was no question of compromising on the states interests.

Flaying Opposition criticism against his government for allegedly failing to protect the state's interests, Rao said he had sought peaceful co-existence with all the neighbouring states.

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Agencies
February 11,2020

New Delhi, Feb 11: AAP chief and Delhi Chief Minister Arvind Kejriwal has won from New Delhi assembly seat. He polled 46,758 votes, which is 61.1 per cent of total votes polled in the high profile constituency.

Kejriwal defeated Sunil Kumar Yadav of the Bharatiya Janata Party (BJP), who polled 25,061 votes, which is 32.75 per cent of total votes polled. Congress candidate Romesh Sabhawarl could get only 3,220 votes.

So far, the AAP has won 55 seats and is leading on seven seats. The BJP has won seven seats and is leading on two. The Congress is nowhere in the reckoning.

As per the details on the website of Election Commission of India at 8.27 pm on Tuesday, the AAP has secured 53.60 per cent votes, BJP 38.49 per cent, BSP 0.71 per cent, CPI 0.02 per cent, CPI-M 0.01 per cent, Congress 4.27 per cent, JDU 0.90 per cent, LJP 0.35 per cent, NCP 0.02 per cent, and NOTA 0.46 per cent.

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News Network
April 23,2020

New Delhi, Apr 23: Congress president Sonia Gandhi on Thursday accused the BJP of spreading the virus of communal prejudice and hatred in the country, asserting that "grave damage" is being done to social harmony

Addressing a meeting of the Congress Working Committee, Gandhi said it should worry every Indian and her party will have to work hard to repair this damage.

"Let me also share with you something that should worry each and every one of us as Indians. When we should be tackling the coronavirus unitedly, the BJP continues to spread the virus of communal prejudice and hatred," she said.

"Grave damage is being done to our social harmony. Our party, we will have to work hard to repair that damage," the Congress president added

Former prime minister Manmohan Singh, former Congress president Rahul Gandhi and top Congress leaders attended the meeting through video conference

This is the second time the CWC, the Congress' top decision-making body, is meeting through video-conferencing in the past three weeks ever since the lockdown was enforced to contain the coronavirus threat.

The Congress president said the coronavirus pandemic has increased disturbingly in the past three weeks and called upon the government to increase testing for it

Gandhi said she has written several times to the prime minister since the lockdown was enforced and suggested several measures and constructive cooperation

"Unfortunately, they have been acted upon only partially and in a miserly way. The compassion, large-heartedness and alacrity that should be forthcoming from the central government is conspicuous by its absence," she said

The Congress chief said the focus of the party must continue to be on successfully engaging with health, food security and livelihood issues.

She claimed that around 12 crore people have lost jobs in the first phase of the lockdown and urged the government to provide a relief package for the MSME sector, which accounts for one-third of the GDP

Gandhi called upon the government to provide food and financial security to migrants and jobless stranded at various places and were desperate to reach back home

"We have repeatedly urged PM there is no alternative to testing, tracing and quarantine. Unfortunately, testing still remains low, testing kits still in short supply," she noted

Gandhi said trade, commerce and industry have come to a virtual halt and crores of livelihoods have been destroyed.

"The central government does not appear to have a clear idea on how the situation will be managed after May 3rd. A lockdown of the present nature after that date would be even more devastating," she said

Former prime minister Manmohan said the success of the lockdown will be judged finally on India's ability to tackle COVID-19

He also said the cooperation between the Centre and states was key to success of the country's fight against coronavirus

Singh said it is necessary to focus on a number of issues in the fight against coronavirus

The fight against COVID-19 would very much depend upon the availability of resources, he noted

Rajasthan chief minister Ashok Gehlot said unless the central government comes forward to financially help states, the fight against COVID-19 will get weakened

"Unless there is a big financial package for states, how will normalcy return to states post lockdown," he asked

Chhattisgarh chief minister Bhupesh Baghel said unless the Centre rises to the occasion and provides financial assistance to states, how will the fight against COVID-19 be won

Puducherry chief minister V Narayanasamy said the Union government has not given any assistance to the states

"How will states survive in times of crisis. We are not enemies but have to act and work together," Narayanasamy said at the CWC meet.

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