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CBI arrests telecom firm promoter in Rs 126 crore bank loan scam

PTI New Delhi 12 May 2017, 20:52:44
PTI

The CBI today arrested the promoter of a telecom company in connection with a Rs 126 crore bank loan scam case. 

Sunil Kakkad, the promoter of Click Telecom, was arrested this evening in Mumbai for allegedly cheating a consortium of State Bank of India, Canara Bank and Vijaya Bank to the tune of Rs 126 crore, CBI sources said. 

The agency had registered the case against Kakkad in 2015. 

The telecom company had allegedly been sanctioned several credit facilities, including cash credit, term loan and non-fund based limits (LCs), to the tune of Rs 126 crore, CBI spokesperson R K Gaur said in Delhi. 

He said Kakkad had taken over Click Telecom from its earlier promoters. 

"It was further alleged that this company had won the bid for launching of BSNL VVOBB (voice and video over broad band) project in southern and eastern zones of the country and the accused inflated the project costs to obtain huge funds from the banks," the spokesman said. 

He said it was also alleged that no machinery was actually supplied and letters of credit (LCs) were opened favouring associate companies. 

"These LCs were allegedly discounted and funds siphoned off. Role of the accused (Kakkad) in six other cases are also being investigated," he said. 

Cumulative funds involved in seven cases against him are over Rs 900 crore, the CBI sources said, adding that funds of Corporation Bank, SBI, State Bank of Bikaner and Jaipur, Allahabad Bank, Bank of Baroda and Vijaya Bank were siphoned off in these cases. 

Kakkad will be produced in a special court in Mumbai on Saturday.