Scam-shrouded Karvy Stock Broking Ltd. (KSBL) promoter C Parthasarathy and others have been booked for cheating ICICI Bank of Rs 563 crore.
Scam-shrouded Karvy Stock Broking Ltd. (KSBL) promoter C Parthasarathy and others have been booked for cheating ICICI Bank of Rs 563 crore. According to the police, a case has been registered against the accused under sections 406 (criminal breach of trust), 420, 34 along with read (cheating) of the Indian Penal Code.
This is the allegation
that the police said that the amount raised by KSBL by pledging the shares of its six bankers was transferred to the bank accounts of the firm itself, not to the ‘customer account of the stock broker’. This is in violation of SEBI guidelines. The matter was transferred to the Economic Offenses Wing of Cyberabad and a special team was formed to probe it.
Parthasarathy was arrested on August 19 in connection with the default of payment of a loan of Rs 137 crore taken from IndusInd Bank. Joint Commissioner of Police (Detective Department) Avinash Mohanty said that C. Parthasarathy has been arrested for non-repayment of loan taken from IndusInd Bank in 2019 and transfer of funds to another bank.
HDFC Bank also filed a case
HDFC Bank has also filed two similar cases against him. This arrest has been made in the case of a total scam of Rs 587 crore from two banks. HDFC Bank, in its complaint, alleged that Karvy defrauded an aggregate amount of Rs 350 crore while IndusInd Bank defrauded it to the tune of Rs 237 crore.
The official said the banks alleged in their complaint that Parthasarathy’s Karvy Group had illegally pledged shares of its customers and took loans. The loan amount was given to other companies and the loan was not repaid.
