The Central Bureau of Investigation has booked Pisces Exim (I) Private Limited, its proprietor and directors, besides the then CMD of PEC Limited, which comes under the Commerce and Industry Ministry, and others for allegedly cheating the public sector company of ₹531.72 crore.
Mumbai-based Pisces Exim’s sole proprietor Soumit Ranjan Jena, its directors Pravin Kumar Somalal Rathod and Shantanu Sharma; Jet Link Infotech and its managing director G. Sadanand Rao; two Hyderabad residents M. Shiv Bhusan and M. Srinivas have been named as accused in the FIR.
The then PEC Limited CMD A.K. Mirchandani, its director (currently CGM) Rajiv Chaturvedi, CGM A.K. Gandotra, GM (Finance) R.C. Gilani and JGM S.K. Kochhar have also been arraigned.
The case pertains to 15 associate-ship agreements entered between PEC Limited and Pisces Exim, under which the latter was to export a certain quantity of iron ore to a foreign buyer. The transaction was to be facilitated and financed by the public sector company by way of interest-bearing advances.
In the process, PEC Limited released a sum of about ₹348.00 crore to Pisces Exim and its nominees as interest bearing advance in accordance with the agreements. However, it is alleged, Pisces Exim defaulted on the terms of the agreements.
“Not only did it fail to supply the iron ore, as required, it also failed to refund the amount paid to it by PEC. Presently, a sum of ₹531.72 crore (including interest up to September 30, 2016) is due and payable to PEC along with interest till realisation. Importantly, the said monies due are public money,” said the FIR.
