SFIO arrests former Bhushan Steel MD Neeraj Singhal for alleged fraud
New Delhi, Aug 9: Neeraj Singal, erstwhile Promoter & Managing Director of Bhushan Steel Limited was arrested on Thursday by the Serious Fraud Investigation Office (SFIO). He was produced before the court of Competent Jurisdiction today & has been sent to Judicial Custody till August 14.
He is accused of siphoning off funds of over Rs 2000 crore from the loans availed by Bhushan Steel Limited using more than 80 companies.
The companies were used for fraudulent activities of rotation of funds through bogus loans & advances, investments, etc.
t may be noted that Bhushan Steel Ltd is one of the 12 big cases that had been referred for insolvency resolution by banks. Worth mentioning that Tata Group has taken over management of the company from the Singhals. The fresh development came to light after the Ministry of Finance put out a series of statements on micro-blogging site Twitter.