Former CEO of New India Cooperative Bank Denied Interim Protection from Arrest in Loan Fraud Case

Strategic Insights -

Abhimanyu Bhoan, the former CEO of the New India Cooperative Bank, has been denied interim protection from arrest in a loan fraud case involving the Percept Group, a prominent entertainment and media conglomerate. The special court's decision comes as Bhoan is already under judicial custody for allegedly embezzling Rs.122 crore from the bank's cash reserves. The EOW (economic offences wing) of police has alleged that Percept Group obtained a loan of Rs.77 crore, out of which Rs.18.56 crore was waived by senior bank officials after receiving kickbacks.

Key Takeaways:

  • Abhimanyu Bhoan, former CEO of New India Cooperative Bank, has been denied interim protection from arrest in a loan fraud case.
  • The case involves alleged embezzlement of Rs.122 crore from the bank's cash reserves by Percept Group, a prominent entertainment and media conglomerate.
  • EOW alleges that Percept Group obtained a loan of Rs.77 crore, out of which Rs.18.56 crore was waived by senior bank officials after receiving kickbacks.
  • Bhoan's advocate claims he had no role in waiving the loan, but the court notes that he was the CEO of the bank when the fraud was committed.
  • The offence was committed between September 2014 and October 2023, during which the loan was sanctioned to Percept Group without due diligence.
  • Documents found in Bhoan's house during investigation revealed fabrication of bills in the name of a UK-based shell company, amounting to Rs.6.37 crore, charged to Percept Group.

Statistics:

  • Rs.122 crore: Amount allegedly embezzled from the bank's cash reserves.
  • Rs.77 crore: Loan obtained by Percept Group from the bank, out of which Rs.18.56 crore was waived.
  • Rs.18.56 crore: Amount waived by senior bank officials after receiving kickbacks.
  • Rs.6.37 crore: Amount charged by a UK-based shell company to Percept Group, discovered in Bhoan's house during investigation.
  • 2014-2023: Time period during which the loan was sanctioned to Percept Group without due diligence.

Sources:

  • "Court declines interim protection to Bhoan in loan default case" by HT Digital Content Services
  • Published by HT Digital Content Services with permission from HT Mumbai.