CBI Arrests Former CMD of BECIL in ₹58 Crore Corruption Case
BECIL's Former CMD G. Kuruvilla and General Manager W.B. Prasad Arrested for Alleged Misconduct; Court Remands Them to CBI Custody Until Saturday
CBI Arrests Former CMD and General Manager of BECIL in ₹58 Crore Corruption Case
MUMBAI: Mumbai branch of Central Bureau of Investigation (CBI) has arrested the former chairman-cum-managing director (CMD) of Broadcast Engineering Consultants India Limited (BECIL), G. Kuruvilla, and general manager, W.B. Prasad, over an alleged case of corruption. The case is about the approval of a ₹50 crore loan to a private company for a civic project in Pune, which, as per reports, resulted in a loss of ₹58 crore to BECIL, since the loan was neither recovered nor spent on the project it was meant for.
The CBI investigation found the loan was sanctioned in the absence of proper security checks, thus making a major contribution to financial misappropriation. Kuruvilla and Prasad were detained for suspected misbehaviour in terms of omission and commission as officials. The duo was, after their detention, sent to CBI custody till Saturday by a Mumbai special court.
Based on reports, Kuruvilla is alleged to have received undue benefits from Prateek Kanakia, the proprietor of the concerned firm, The Green Billions Limited (TGBL), in return for the sanction of the loan. Kanakia was earlier arrested on March 24 and is currently in judicial custody. Both he and the BECIL officials will stay in CBI custody for questioning until the next hearing by the court.
The CBI has charged Kuruvilla, Prasad, Kanakia, TGBL, a contractual employee with BECIL, and some unidentified persons under various provisions of the Indian Penal Code and the Prevention of Corruption Act. The FIR contains serious charges including criminal conspiracy, cheating, and bribing public servants.
Investigation facts indicate that a public sector bank, the Indian Renewable Energy Development Agency Limited (IREDA), had sanctioned ₹80 crore of loan to BECIL to be utilized on various projects like waste management and smart lighting systems. BECIL subsequently made a deal with TGBL to implement a civic solid waste management project in Pune. Nevertheless, the company received only ₹50 crore disbursements via three installments, reportedly secured using a fudged Performance Bank Guarantee.
The inquiry has revealed that the loan proceeds were misdirected, and the company did not undertake the project or refund the loan money, which caused a major loss to BECIL. Further, CBI sources revealed that significant project-related files were missing from BECIL’s New Delhi office, which raised more questions on the sanctity of the financial transactions involved.
The arrests highlight the ongoing scrutiny of corruption within public enterprises and the CBI’s commitment to addressing fraud involving public funds. The agency continues to investigate the matter thoroughly, as the implications of the case reach several stakeholders in the public sector.
