CBI conducts searches in Reliance Telecom SBI fraud case

The CBI has conducted searches at locations linked to Reliance Telecom and its former directors after registering an FIR in connection with an alleged Rs 114.98 crore fraud involving State Bank of India and a consortium loan

New Delhi: The CBI has conducted searches at the residences of two former directors of Reliance Telecom and the company office after registering an FIR against them in connection with an alleged fraud of Rs 114.98 crore at State Bank of India, officials said on Thursday.

“The Central Bureau of Investigation (CBI) has registered a case against M/s Reliance Telecom Ltd, Sh Satish Seth (then Director), Sh Gautam B Doshi (then Director), unknown public servants and unknown others for offences of conspiracy and cheating under IPC and criminal misconduct and abuse of official position under the Prevention of Corruption Act, 1988,” a CBI spokesperson said in a statement here.

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The agency acted on a complaint from SBI stating that it was defrauded and suffered a wrongful loss of Rs 114.98 crore, she said.

“SBI was a member of a consortium of 11 banks which had sanctioned a total term loan facility of Rs 735 crore to Reliance Telecom Ltd,” the CBI said.

The agency has conducted searches in Mumbai at the residences of Satish Seth and Gautam B Doshi, and the registered office of Reliance Telecom Ltd. Various documents connected with the loan transactions have been recovered, the spokesperson said.