Kochi: The officials of the Central Bureau of Investigation conducted countrywide raids in the residential and official premises of top officials of the Fertilisers and Chemicals Travancore Ltd (FACT), including that of Chairman and Managing Director Jaiveer Srivastava, on Saturday morning in connection with the allegations regarding irregularities in the sale of gypsum from the company. Raids were also held on the business and residential premises of the companies that won the contract for gypsum supply. The raids which started early morning on Saturday continued till late evening.
Apart from Kochi, raids were held in Delhi, Chennai, Hyderabad, Coimbatore and Mumbai covering 22 premises. The economic offences wing of the CBI conducted raids on the basis of a report by the Vigilance wing of the FACT that the company had suffered huge losses by selling gypsum, a byproduct, at much lower rate than the prevailing. Based on the report, the Union Ministry of Chemicals and Fertilisers asked the CBI to conduct a probe. Sources said gypsum was sold to NSS Private Ltd at the rate of Rs 130 per tonne as against the prevailing rate of Rrs 600 to Rs 2,200 per tonne. The company has incurred a loss of Rs 8 crore, according to the vigilance report.
The CBI registered a case under section of 120 B of Prevention of Corruption Act for corruption and criminal conspiracy. The documents recovered during the raids are expected to be presented in the court on Monday. Apart from CMD Srivastava’s office and residence, raids were also held in the residential premises of chief general manager marketing I.S. Ambika, chief general manager (finance) Sreenath Kammath, general manager A.R. George Satish and others. The raids in the residence of Mr. Kammath in Kochi led to the recovery of the skin of a spotted deer which the raiding party has handed over to the Forest Department officials. The forest department officials said a case will be registered against Mr. Kammath under the relevant provisions of the Wildlife Protection Act. Unconfirmed reports also claimed that documents regarding banks deposits worth Rs 85 lakh were recovered from the residence.
There was no official response from FACT about the raids. The trade unions in FACT remained tightlipped about the incident. A spokesperson of Save FACT Forum declined to make any comments saying that he was unaware of the details.
