CBI books Su-Kam Power Systems for ₹260.89-cr. bank fraud

Central Bureau of Investigation (CBI) logo. File Image   | Photo Credit: PTI

The CBI has booked Su-Kam Power Systems Limited and others for allegedly cheating a consortium of banks to the tune of ₹260.89 crore.

The company, which manufactures 200 items, including various solar products, batteries and customised solar solutions, has the biggest share in India’s residential solar market, the FIR mentioned.

Apart from Su-Kam Power Systems, its then managing director Kunwar Sachdev and director Sanjeev Kumar have been named as accused in the case. The company had got credit facilities from State Bank of India and six other banks under a consortium arrangement. The account turned non-performing asset in September 2017.

The alleged fraud came to light during a forensic audit, for which a report was submitted in May 2019. The audit detected a serious irregularities, revealing that the cheating was purportedly committed from 2014 to 2018. Su-kam Power Systems had not been maintaining record of cash sales. During demonetisation, it deposited ₹10.42 crore in cash in different banks. However, when asked, it could not produce the record of sales.

Transactions not genuine

The auditor said sale transactions during the check period were apparently not genuine and that there were reasonable grounds to believe that the customers in whose accounts money was transferred by the company were either non-existent or fictitious.

The lenders cited an instance wherein over 1.8 lakh batteries covering sales worth ₹7.98 crore were shown dispatched to one Skyward Rolling and Alloys Limited (SRAAL) through 172 lorry receipts. In 81 of the 161 cases, involving lorry receipts covering sales worth ₹7.21 crore, goods were transferred beyond the capacity of vehicles.

According to the FIR, SRAAL is a closely held company involved in the manufacture of iron and steel. Its last audit financial statement available in public domain is of 2012-13. The company has no online presence and its address mentioned in the lorry receipts/invoices in Delhi is non-existent.

It is alleged that in 2016-17, Su-kam had showed purchase of batteries and UPS tubular for ₹157.57 crore from Agrar Trading India Private Limited, which dealt in agri products, and ₹19.89 crore from Sungold Trade Private Limited, which was into rice exports.

The stocks so bought was sold to Shakumbari Tradelink Private Limited and Ferrometal Trading Private Limited, a related party of Sungold Trade, at very low profit or loss.

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Printable version | Mar 7, 2021 12:09:59 AM |

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