Delhi Car dealer held for duping HDFC Bank of Rs 300 cr, Auto News, ET Auto

New Delhi: Delhi Police’s Economic Offences Wing (EOW) has arrested main financial officer of a automobile dealership company on fees of allegedly duping banking companies to the tune of Rs 300 crore. The accused has been determined as Bibhav Sharma, a resident of Gurgaon.

In accordance to joint commissioner (EOW) O P Mishra, HDFC Financial institution experienced submitted a criticism alleging that the administrators of M/s Zenica Autos India Pvt. Ltd and M/s Zenica Efficiency Autos experienced duped the lender to the tune of Rs 102 crore.

“They experienced named administrators Rash Pal Singh Todd, Mandhir Singh Todd and its CFO Vaibhav Sharma in their criticism. The accused experienced sought financial support in the form of funds credit history facility, trade advancements and so on,” Mishra reported.

In accordance to the conditions and conditions executed in between the lender and the alleged firm, the accused experienced to furnish information pertaining to utilisation of the funds together with information of the stock which had been hypothecated with the lender.

The trade advancements availed by the alleged providers experienced to be returned inside of ninety times. Until March 2018, the alleged providers experienced been satisfying the conditions and conditions but defaulted soon after that, law enforcement reported.

In June, 2018 an inspection was carried out at the showroom of the alleged firm and the lender found only 29 cars and trucks from 200 cars and trucks as promised. In the course of investigation, it even more emerged that the alleged persons experienced availed financial support of Rs a hundred thirty crore from other financial establishments i.e. ICICI Financial institution, Federal Financial institution, J & K Financial institution and Volkwagen Pvt. Ltd.

Officers of alleged providers have misappropriated about Rs 102 crore. Sharma experienced explained to the complainant that the providers had been running in losses for the previous 4 a long time, while the balance sheet of the providers showed revenue, law enforcement reported. Rashpal and Mandhir had been arrested before. The alleged firm acquired the credit history services/trade advancements and financial loans for demo cars and trucks. They offered the demo cars and trucks without the need of NOCs, law enforcement reported.