New Delhi: The Central Bureau of Investigation searched several Mumbai premises linked to Future Retail’s promoters and directors on Friday, November 6, after registering a case over an alleged ₹904.32 crore loss to the State Bank of India (SBI). The agency said it seized documents relevant to its investigation.
The CBI registered the case on November 4 following a complaint from SBI’s Stressed Assets Management Branch III in Mumbai. The agency named Future Retail, Kishore Biyani and Rakesh Biyani in the case, along with unidentified public servants and other unidentified people. The case concerns alleged criminal conspiracy to cheat and offences under the Prevention of Corruption Act.
CBI examines how the credit was used
According to the CBI, the company obtained working capital, term loans and letters of credit from SBI and a consortium of nine banks. The agency alleges that Future Retail used funds for purposes other than those for which the bank sanctioned them and diverted money through associated companies or connected entities.
Future Retail operated formats including Big Bazaar, Fashion@Big Bazaar and Foodhall. The CBI said its investigation is continuing to trace how the funds were ultimately used and establish the roles of the public servants and private individuals involved.
