New Delhi:

Ashoka University co-founders Pranav Gupta and Vineet Gupta have been indicted by the CBI for an alleged Rs 1,626 crore scam involving their Chandigarh-based pharmaceutical company Parabolic Drugs.

The CBI has filed a complaint against the company, Pranav Gupta, Vineet Gupta and 10 others. They are accused of having deceived the Central Bank of India and 11 other banks. The Guptas were raided in several towns on December 31.

Implicated documents, items and 1.58 crore rupees in cash were found during the raids, according to the CBI. The Gupta brothers are accused of criminal conspiracy and forgery.

The Ashoka University website shows Vineet Gupta as founder and administrator and Pranav Gupta as co-founder and administrator. Parabolic Drugs, promoted by the Gupta brothers, was established in 1996. It manufactures drugs and drug intermediates.

CBI is investigating allegations that Parabolic used false documents to secure a loan from State Bank of India, UCO Bank, State Bank of Patiala, ICICI Bank, IDBI Bank, State Bank of Hyderabad, Central Bank of India, Union Bank of India, Bank of Baroda, Exim Bank, Canara Bank and SIDBI.

The CBI’s FIR, based on the Indian Central Bank’s complaint, says the company has been in default since 2012. “The company profited from the bank financing by overestimating the value of the primary collateral against which the drawdowns were made. authorized by the bank, ”says the complaint.

“After having conspired to get the banks to sanction funds under cover of their business needs, the defendants deployed underhand tactics to embezzle funds and siphon / embezzle said funds to avoid repayment and / or to enrich themselves personally and thus provoke losses for the banks, ”he said.

In 2014, the State Bank classified Parabolic Drugs’ accounts as “non-performing assets”. The Central Bank of India followed soon after.