Officials register fraud case.
Chennai: The CBI registered a case against K Srinivasa Kalyan Rao, managing director of a city based firm and son of former CBI chief, Vijaya Rama Rao, for allegedly defaulting on a Rs 124 crore loan from Central Bank of India. Srinivas Kalyan Rao, MD Best and Crompton Engineering, has been slapped with
case of criminal conspiracy, cheating and forgery. His father Vijaya
Rama Rao was the director of CBI between 1993 and 1996. He later joined
politics in Andhra Pradesh.
According to CBI sources, sleuths on Saturday carried out searches in Chennai and Hyderabad in connection with the case.
It has been alleged that the company had borrowed Rs 304 crore from a consortium of banks comprising Central Bank, Andhra Bank and Corporation Bank by way of fund-based and non/fund-based limits. Central Bank, which
has an exposure of Rs 124 crore, had approached CBI with a complaint on the basis of which the case was registered under sections 120 B r/w 420 468 and 471 of the Indian Penal Code.
