The Central Bureau of Investigation (CBI) has registered a case against Kohinoor Power Private Limited and its directors for allegedly diverting Rs. 241.9 crores sanctioned for setting up a thermal power plant in Seraikela-Kharsawan district of Jharkhand. The move followed a directive from the Calcutta High Court, which ordered the central agency to initiate action after the banks involved approached the court.
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Loan Sanctioned for 66 MW Plant in Seraikela
As per the FIR, Kohinoor Power was allotted loans totalling Rs. 244 crores between 2008 and 2013 for constructing a 66 MW coal-based thermal power plant at Kandra (Kuchidih). The lenders included Bank of Baroda (Rs. 75 crore), Bank of India (Rs. 75 crore), PTC India Finance (Rs. 50 crore), e-Corporation Bank (Rs. 44 crore), and IFCI Ltd (Rs. 50 crore). The project, initially scheduled for completion in 2013, received deadline extensions till 2016 but never materialised.
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Funds Diverted, Project Collapsed
Forensic audit reports revealed that the company failed to contribute the required margin money as per the loan agreement while diverting large portions of the sanctioned amount. With no significant investment in the power plant, the project collapsed and the loan accounts turned into Non-Performing Assets (NPAs), causing losses estimated at Rs. 241.9 crores to the banks.
CBI Filed FIR Against Company and Officials
The CBI FIR named the company, its directors Vivek Dugar, Vijay Bothra, and Prashant Bothra along with unidentified bank officials. Investigators will now probe the diversion of funds, lapses in due diligence, and possible collusion that led to the failure of the project. The case is seen as a significant test of accountability in large-scale project financing, especially in the power sector.
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