CBI Busts Rs 5717-Crore Bank Fraud by SKS Power Generation

The CBI conducted searches across 14 locations, investigating a Rs 5717-crore bank fraud by SKS Power Generation Ltd. The company allegedly defaulted on loans from multiple banks and diverted funds using shell companies. Key suspects include directors Anil and Anish Gupta and two SBI officers. Seizures include incriminating documents.

The Central Bureau of Investigation (CBI) has launched an extensive probe into a staggering Rs 5717-crore bank fraud involving Chhattisgarh-based SKS Power Generation Ltd. The investigation follows an FIR filed on the orders of the Allahabad High Court. Official sources indicate that the company, originally promoted by SKS Ispat and Power Ltd. (SKSIPL), defaulted on loans amounting to Rs 6,170 crore, borrowed from several financial institutions including State Bank of India and L&T Infrastructure Finance Limited.

The CBI has apprehended several high-profile individuals, notably Anil Mahabir Gupta and Anish Anil Gupta, directors of SKS Power Generation and SKS Ispat and Power Ltd., respectively. The intricate scam involves 26 other individuals and two State Bank of India officers. The financial institutions auctioned the defaulted loans, which were deceptively settled at Rs 2,000 crore favoring Entwickeln India Energy Private Limited—registered at the same address as SKS Power, hinting at possible unauthorized mergers in 2019.

The FIR elaborates a criminal conspiracy alleging malicious diversion and round-tripping of bank funds through shell companies with fictitious share transactions. Alarming revelations include significant amounts being transferred to offshore accounts in the British Virgin Islands and Bermuda. The CBI's searches spanned across cities like Mumbai, Kolkata, Raipur, Bhubaneswar, and Trichy, leading to the seizure of incriminating documents.

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