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Ashok Goenka denied bail in CanBank fraud case

A special court has denied bail to accused Ashok Goenka, a director of the Premier Vinyl Flooring Ltd, arrested by the Central Bureau of Investigation on July 26, for allegedly cheating the Canara Bank of Rs 910 million during 1996-97.

While disposing of the bail application on Tuesday, special judge S L Khanna said, ''the past record of accused Ashok Goenka raises reasonable apprehension that if he is released on bail he may abscond. He may not be present during the trial.''

The investigating agency argued that Goenka fled to Turkmenistan three years ago, when the complaint was lodged.

The accused got as many as 299 bills discounted for the Canara Bank and misappropriated the funds, the CBI alleged in the chargesheet.

The CBI has chargesheeted PVFL managing director D N Goenka, directors A K Goenka, Ashok Goenka, former general manager (finacial accounts) Nandan Chopra, senior manager (exports) V K Mehra, former senior assistants A K Rai and Puran Chand, former office assistant Rajesh Kumar and Canara Bank official K M Udupa.

Udupa was then heading the foreign exchange department of the bank's Safdarjung development area branch.

According to the chargesheet, the directors and officials of the PVFL in collusion with Udupa defrauded the bank of Rs 910 million by submitting fake and forged bills of exports.

UNI

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