Canara Bank is seeking an interim order from a court in Andhra Pradesh to attach the properties mortgaged by beleaguered Deccan Chronicle Holdings Ltd. (DCHL) “The properties were mortgaged to multiple parties. We complained to the Central Bureau of Investigation (CBI), and have filed several cases. The CBI is also investigating into the fraud. As the process is getting delayed, we are now seeking an interim court order to attach the properties,” bank Chairman and Managing Director R. K. Dubey said on Wednesday on the sidelines of an event here.
The bank’s lending to DCHL was in excess of Rs.350 crore, and almost half of this was not secured. Besides, the mortgaged properties were found to be fraudulent, as the same were mortgaged with other banks and financial institutions, the CMD said.
DCHL’s total liabilities towards different financial entities are estimated to be about Rs.5,000 crore.
