Kanishk Gold fraud: TN jeweller ‘dupes’ banks of Rs 824cr, Sees CBI searches: The CBI on the last Wednesday demeanor searches at the offices and houses of the owners of jewelry chain Kanishk in Chennai receives the complaint from State Bank of India that the gold house had cheated 14 banks of Rs824 crore as per the various media reports.
A CBI spokesman stated to the teams which explore the premises of Bhoopesh Kumar Jain and his wife Neeta Jain, so the agency has registered a case.
In the last January, SBI receives the help of CBI to explore jewelry chain Kanishk Gold Pvt Ltd for loan fraud of Rs 824 crore.
This jeweler had taken everything from banks as per various media reports, fill with air inventory and borrowed against the same asset more than once, SBI mentioned in its letter.
The SBI was the lead bank in an association of 14 public and private sector lenders that offer loans to Kanishk.
In a letter dated the 25th January to CBI, SBI charged Kanishk with “manipulating records, shutting shop overnight”. SBI was the first which announce the account fraudulent to RBI on last year of 11th November.
By January, all other banks announced the account as deceitful. SBI stated to the jeweler first defaulted in March 2017 in the interest of payments to the eight banks.
In the month of April 2017, Kanishk had already prevented its payments to all 14 banks. The bankers were now somehow able to contact the promoter when this was all set to begin in its stock audit on 5th April 2017.
On the last year 25th May 2017, at the time, the bankers visited Kanishk’s corporate office, factory and showroom, they found them to shut.
On the very same day, Bhoopesh Jain sends a letter to his bankers where he confessed misrepresentation of records and removal of stocks secured as security to the lenders.
A spokesperson from the Madras Jewellers and Diamond Merchants Association told about the firm to shut the same already in the last year of May month and their line was, “it couldn’t cope with the losses”.