The Serious Fraud Investigation Office (SFIO) arrested three people in connection with the investigation into the affairs of Jagat Agro Commodities Pvt. Ltd on Friday.
In the investigation assigned by the Ministry of Corporate Affairs to SFIO based on the orders passed by the National Company Law Tribunal, the SFIO arrested promoter and shareholder Satish Kumar Pawa, son of promoter Saurav Aggarwal and statutory auditor Suhas S Paranjpe in connection with the investigation into the affairs of Jagat Agro Commodities Pvt. Ltd, according to a release from the Ministry of Corporate Affairs.
The investigation was assigned by the Ministry of Corporate Affairs to SFIO based on the orders passed by the National Company Law Tribunal.
The arrest has been made by SFIO in the exercise of the powers under Section 212(8) of the Companies Act, 2013, based on the material in its possession which has revealed that these persons were guilty of indulging in serious corporate fraud punishable under Section 447 of the Companies Act, 2013.
They have falsified the financial statements over a period of 3 years by inflating their stock position and falsely induced banks to lend on the strength of the falsified financial statements. The company borrowed funds from public banks viz. SBoP and PNB and diverted/ siphoned through various channels, the release said.
They were produced before the court of Competent Jurisdiction in Delhi and transit remand orders were obtained for producing them before the Special Court (Companies Act, 2013), Mumbai.
The additional session judge, Mumbai, has remanded all the three accused in SFIO custody till Match 1. The investigation is currently in progress.
( With inputs from ANI )
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