CBI books aviation firm, others for cheating bank

The Central Bureau of Investigation has booked Livewel Aviation Services Private Limited and others for allegedly cheating the State Bank of India to the tune of ₹52.94 crore.

Among the accused are Manek Faramroze Daver, Burzin Manek Daver and Amanvaz Daver. It is alleged that they faked documents and forged auditors’ report to conceal facts from the lending bank.

The company was engaged in airlines ground handling services, maintenance and repairs of aircraft items, bay cleaning and runway rubber deposit removal, aircraft fumigation, dry cleaning and laundering services, covering eight major airports across the country.

It is alleged that the company operated a current account with the Union Bank of India (UBI) and 75% of the sale realisation was routed through that account from April to October 2016. When the lending bank requested for the UBI account statement, a fabricated document was submitted by the accused persons.

“There is a doubt regarding the authenticity of contracts with airlines, bills raised and realisation memos produced by the borrower for verification as the realisation is untrue. No debtors’ confirmation were available on record,” said the bank’s complaint.

A search of the Corporate Affairs Ministry website did not show the appointment of any auditor by the company for the years 2014-15 and 2015-16.

Based on the initial findings, the bank ordered a forensic audit that allegedly revealed several irregularities. Further inquiries revealed that the debtors shown in the company’s records did not exist.

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Printable version | Oct 22, 2021 4:34:42 PM |

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