On Friday, the CBI arrested the directors of the Totem Infrastructure Ltd., in connection to the Rs. 1,394 crores loan fraud case. The case involves a total of eight banks led by the Union Bank of India.
Directors Salaith Tottempudi and his wife Kavita Tottempudi were arrested for defrauding a chain of banks. On Thursday, the UBI’s Industrial Finance Branch in Hyderabad, filed a case against Totem firm. The case is against the husband and wife and unidentified public servants. It stated the banks were cheated of Rs. 313.84 crores.
The State Bank of India is on the top of the list in this fraudulent case. SBI has complained of being cheated of Rs. 357.64 crores while UBI stated Rs. 313.84 crores. The remaining banks were Bank of Baroda (Rs. 208.67 crores,) PNB (Rs. 126.30 crores,) JM Financial Asset (Rs. 69.07 crores,) IDBI Bank (Rs. 174.47 crores,) Syndicate Bank (Rs. 64.48 crores) and Oriental Bank of Commerce (Rs. 79.96 crores.)
The Totem firm took a loan from a consortium of eight banks led by the UBI. Totally this is a fraud of Rs. 1,394.43 crores. The UBI explained in the complaint that the firm based in Banjara Hills in Hyderabad was taking loans since 2005. The complaint said the loans were for the business of EPC which is Engineering, Procurement and Construction contractor. It is related to structural changes like road building, water pipe installation and building structures.
