ABG Shipyard News

The ED probe revealed that ABG Shipyard Ltd and its Chairman & Managing Director Rishi Kamlesh Agarwal availed various credit facilities/loans from a consortium of Banks on the pretext of meeting its capital requirements and other business expenses. 

The action comes days after the CBI registered an FIR in the country's biggest alleged bank loan fraud case. The ED case has been filed under various sections of the Prevention of Money Laundering Act (PMLA). The CBI had booked ABG Shipyard Ltd and its then chairman and managing director Rishi Kamlesh Agarwal.

The CBI has booked ABG Shipyard Ltd and its then Chairman and Managing Director Rishi Kamlesh Agarwal for defrauding a consortium of State Bank of India (SBI) of over Rs 22,842 crore, in its biggest bank fraud case. Speaking on the matter, Rahul Gandhi has made a scathing attack on the Modi government.

CBI has registered an FIR in the biggest scam in banking history. This scam is being told of Rs 22842 crore. In the CBI FIR, ABG Shipyard Company of Gujarat and its associate companies have been held responsible for the scam.

ABG Shipyard is undergoing insolvency proceedings under the Insolvency and Bankruptcy Code(IBC, 2016) as per the orders of NCLT.

The banking sector is saddled with non-performing assets (NPAs) of over Rs 8 lakh crore, of which Rs 6 lakh crore is with public sector banks (PSBs).

Since the Ordinance and naming of 12 largest defaulters, the banking index gained over 5 per cent, says the report based on the stock performance between May 4 and June 13.

The company did not offer any clarity on the equity percentage to be sold, but Privinvest is expected to buy up to 49 percent through fresh equity worth Rs 1,000 crore.