Delhi-based kids apparel label, Catmoss Retail has been booked by the CBI for allegedly fouling Union Bank of India by fabricating its balance sheets for the year 2009-10 and 2010-11 to avail a loan of Rs. 20 crores which was not paid back to the bank.
Reportedly, after the bank filed a complaint, the CBI reported a case of criminal conspiracy and cheating against Ashwini Kumar Chawla, Chief Managing Director of the company along with his wife and guarantor Asha Rani Chawala and the firm’s directors Reena Chawla and Asha Rani Chawla.
The complaint states that the retailer presented ‘forged and fabricated’ balance sheets with a clear purpose to cheat and cause loss.
Furthermore, the bank also affirmed that Chawla had previously urged the bank to sanction him a credit limit of Rs. 10 crores.
The bank has extracted some of the amount through the assets which were held as a guarantee at the time of sanctioning the loan.
Source: https://in.apparelresources.com