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Banks (Finance)

CBI Court Refuses to Discharge Topworth Steels Director in Rs.74 Crore Cheating Case

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— 1 min read

A special CBI court has refused to discharge Abhay Lodha, the director of Topworth Steels and Power Pvt Ltd, from a cheating and criminal conspiracy case for allegedly causing losses worth Rs.74 crore to UCO Bank. The FIR was registered against M/s Akshata Mercantile Private Ltd (AMPL) and unknown UCO Bank officials after the company submitted four bills worth Rs.74 crore under Letter of Credit (LC), which were diverted to Topworth Steels. The court observed that even if Lodha is not the director of AMPL, he has direct control over the business affairs of the company and was the prime accused in the crime.

Key Takeaways:

  • The CBI court refused to discharge Abhay Lodha, the director of Topworth Steels and Power Pvt Ltd, from a cheating and criminal conspiracy case.
  • The FIR was registered against M/s Akshata Mercantile Private Ltd (AMPL) and unknown UCO Bank officials after the company submitted four bills worth Rs.74 crore under Letter of Credit (LC), which were diverted to Topworth Steels.
  • The court observed that Lodha has direct control over the business affairs of M/s. AMPL and was the prime accused in the crime.
  • The material placed on record shows that there was criminal intent behind certain acts of Lodha with regard to the bank.
  • The case involves alleged losses of Rs.74 crore to UCO Bank.
  • Abhay Lodha was the guarantor to the LC, but the court did not find this sufficient to discharge him from the case.

Statistics:

  • Rs.74 crore: The alleged losses suffered by UCO Bank due to the diversion of funds.
  • 4: The number of bills worth Rs.74 crore that were submitted under Letter of Credit (LC) and diverted to Topworth Steels.
  • June 12: The date on which the CBI court passed the order refusing to discharge Abhay Lodha.
  • Rs.74.82 crore: The total amount of bills discounted by UCO Bank that were later found to be diverted.

Sources:

  • Hindustan Times, June 18: "CBI court refuses to discharge Topworth Steels director in Rs 74 crore cheating case"

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