Ex-Maruti Top Executive Jagdish Khattar Charged For Alleged Bank Fraud

After quitting Maruti Suzuki, Jagdish Khattar had started Carnation Auto India Pvt Ltd and availed Rs 170 crore loan from Punjab National Bank.

Former Managing Director of Maruti Suzuki Jagdish Khattar has been booked by the Central Bureau of Investigation (CBI) in a Rs 110 crore alleged bank loan fraud case involving his new company Carnation Auto India Pvt Ltd.

In its FIR filed recently, the CBI has named Mr Khattar and his company Carnation Auto India Limited for allegedly causing a loss of Rs 110 crore to Punjab National Bank, CBI officials said.

Mr Khattar has denied any wrong doing and said a detailed audit found nothing amiss.

"Carnation is a bonafide business failure. There is no wrong doing. A detailed forensic audit was conducted earlier this year by a leading independent auditor and nothing amiss was found. The Bank has now referred it to CBI as a part of the process followed by them. Search was conducted by CBI but nothing incriminating was found. We will be vindicated once the investigation is completed," he said in a statement.

After quitting Maruti Suzuki in 2007, Jagdish Khattar started Carnation Auto India Pvt Ltd and availed Rs 170 crore loan from Punjab National Bank.

Around Rs 110 crore is the outstanding amount and the account turned into a non-performing asset (NPA) in 2015.

The agency has registered a case under sections related to criminal conspiracy and cheating on a complaint from Punjab National Bank, the officials said.