rediff.com: FBI seeks CBI's help in Rastogi case

Within hours of arresting Narendra Rastogi in connection with a bank fraud case, the Federal Bureau of Investigation asked CBI for details of all the criminal cases that are pending against him in India.

The FBI, after arresting Rastogi and three others for defrauding banks around the world of an estimated $600 million by obtaining finance for sham transactions and then pledging them as collateral for loans, sent a request to the Central Bureau of Investigation to give details about the frauds committed by him in India before he fled to the United States.

Besides Rastogi, Anil Anand, Manoj Nijhawan, and Udhay Shankar, all residents of New Jersey, were arrested by the FBI on Tuesday.

The FBI asked the CBI about Narendra's modus operandi in the cases that he was involved in as his counsel has filed a bail application in a US court.

Highly placed CBI sources said that the FBI has been forwarded all the details of the eight cases in which Rastogi was involved.

Narendra Rastogi, along with his other three brothers, was facing charges of criminal conspiracy and fraud for cheating the government of Rs 430 million in eight different cases.

CBI has been looking for Narendra Rastogi and his brothers and influential businessmen Virendra Rastogi and Ravindra Rastogi in connection with the fraudulent duty drawback on exports of scrap material.

The brothers, it was alleged, sought duty drawback on their export consignments to Hong Kong and other CIS (Confederation of Independent States) countries.

The CBI had alleged that the brothers used to export scrap material but claimed duty drawback on cycle spare parts.

Another fraud case was pending before a Delhi court where their counsel had given an undertaking that they would appear before it on May 31.

The court has kept in abeyance a non-bailable warrant against Narendra and Virendra till May 31.

London-based Virendra, who was questioned in connection with the fraud in New York but not charged, carried a reward of Rs 20,000. Ravindra, reported to be in Dubai, also carries a similar reward.

The fourth brother, Subash Rastogi, was arrested by the CBI on September 9 last year and was out presently on bail.

Interestingly, Allied Deals, which has also been named by the FBI as being involved in the bank scam, has been also charged by the CBI in connection with the duty drawback scam.

In a significant move, the CBI has got the passport of influential London-based businessman Virendra Rastogi revoked after his petition in the Delhi high court against such a move of the agency was dismissed.

As the agency had initiated a move to revoke his passport for his alleged involvement in over Rs 1.71 billion duty drawback scam, Rastogi, through his counsel had moved the Delhi high court against it, a CBI spokesman said in New Delhi.

Since the accused failed to produce the bank guarantee, the high court dismissed the writ petition.



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