PNB asks Delhi Police to take action against loan defaulters

Punjab National Bank has approached Delhi police to bring an action against several firms who have taken a loan from the bank and defaulted thereon. These developments have come after the multi-crore scam of Nirav Modi- Mehul Choksi came to light.

The bank filed FIRs after conducting an internal audit. During the internal audit, many firms were identified and their directors were also untraceable. FIR is filed against such Delhi-based firms and their directors have been for booked for cheating, forgery, criminal breach of trust and criminal conspiracy.

Assistant general manager of PNB said, “ Even after constant follow-ups and meetings, the borrower company has failed to submit stock statements nor deposited sales proceeds or routed book debts realized through its accounts.” The company has misappropriated the bank's funds and hence all the responsible people of the borrower company are criminally liable.

The bank has also filed an FIR against an aluminum wire manufacturer for allegedly defrauding the bank of 93 lakh. Bank has also accused a handloom firm of submitting fake title deeds as security and having misappropriated stocks. It also invoked IPC section of impersonation as someone.

Likewise, while inspecting Shahdara-based packing firm that took a loan and the bank found another firm functioning there since past 16 years. The bank believes that the proprietor has absconded. After visiting its sites at Shalimar Bagh and Paharganj but only found hypothecated stocks. Plant and machinery were missing from the site.

These FIRs were filed after finance ministry issued directions to all banks to identify and act sternly on non-performing assets.