According to sources related to the matter, Allahabad Bank’s wholly-owned All Bank Finance Ltd is the custodian of securities in this case.
Explanation Sought From Banks
According to the news published in the Indian Express, sources said that the investigating agencies have sought the explanation from officials of Allahabad Bank and All Bank Finance Limited. The security has been sought from the banks on the reasons for insufficient evidence for the loan given to the firm of the security and insufficient evidence for the loan. According to reports the Allahabad Bank and the custodian firm have not responded to any mail, phone call or message sent to respond to the matter.
Which Banks Granted the Loan to Choksi
According to the report, Vigilance took this loan from 31 banks. These include Allahabad Bank, Andhra Bank, Bank of Maharashtra, Bank of Baroda, Bank of India, Central Bank of India, Canara Bank, Corporation Bank, Dena Bank, Export Import Bank of India, Indian Overseas Bank, ICICI Bank, IDBI Bank, IndusInd Bank, Karnataka Bank, Karur Vysya Bank, Punjab National Bank, Punjab and Sind Bank, Standard Chartered Bank, State Bank of Hyderabad, State Bank of India Defense, State Bank of Bikaner and Jaipur, Syndicate Bank, Union Bank, United Bank, Vijaya Bank, State Bank of Mauritius, Catholic Syrian Bank, Lakshmi Vilas Bank, Jammu & Kashmir Bank and Oriental Bank of Commerce.
Limit of Loan Increased
According to the media reports, in August 2013, the consortium of banks increased loan amount from Rs 3,610 crore to Rs 5,280 crore for the custodian companies. Investigating agencies are looking at 73 inspecting companies for investigating the matter. About 73 companies affiliated with the watchdog in the Rs 12,700 crore fraud case of Punjab National Bank are investigating the CBI, ED and the Serious Fraud Investigation Office (SFIO).
Was Involved in Several Businesses
The 73 firms which the investigating agencies eyeing upon revealed that Choksi’s business was spread in a variety of sectors. They are related to real estate, agriculture and dairy, telecommunication, IT, financial services and stock trading. According to the report of these firms, most companies are on the verge of closure in a short time.