Hyderabad: The Central Bureau of Investigation (CBI) Bengaluru, booked a case against Hyderabad-based Servomax India Private Limited based located in IDA Cherlapally in an alleged Rs 95.08 Crore fraud. The CBI registered a case against Managing Director A. Venkateshwar Rao, Promoter and Director P. Chandrasekhar Reddy and other public servant for allegedly defrauding Indian Overseas Bank.
The sleuths of CBI were acting upon a complaint filed by the bank. The issue came to light when the account was classified as fraud after conducting an audit. The fraud was also reported to the Reserve Bank of India (RBI). The company that was originally started in 1982 was into manufacture of power saving products such as voltage stabilizers, transformers, power conditioning equipment and power solution providers
The case was booked against the company and others under Sections 120B (Criminal Conspiracy) of Indian Penal Code (IPC) read with 420 (Cheating), 468 (Forgery) and 471 (Using as genuine a forged) along with the provisions of Prevention of Corruption (PC) Act, according to FIR issued by the CBI.