CBI raids 6 sites in Gupta Power loan fraud probe
India
The Central Bureau of Investigation, or CBI, raided six spots across four states as part of a big investigation into Gupta Power Infrastructure Ltd.
The company is accused of tricking Canara Bank out of ₹1,109 crore by faking its finances and misusing loan money.
Investigators allege inflated numbers and evergreening
Investigators say Gupta Power boosted its credit by inflating numbers, like stock values and receivables, and making up financial statements.
They allegedly kept old loans afloat (a move called evergreening) to hide losses, which only made things worse for the bank.