Rotomac Pen Owner, Accused Of Rs. 800-Crore Fraud, Raided By CBI

NEW DELHI:  After billionaire jewellery designer Nirav Modi, another defaulter Vikram Kothari, the promoter of Rotomac Pen, has been charged by the CBI and his home and offices in Kanpur are being raided. The agency has charged him with a Rs. 800 crore fraud.

Vikram Kothari, his wife and son are being questioned. The searches began around 4 am this morning.

 The Kanpur-based company's owner allegedly defaulted on a loan of more than Rs. 800 crore from over five state-owned banks, including Allahabad Bank, Bank of India and Union Bank of India.

Amid reports that he had fled the country, Vikram Kothari was spotted at a wedding on Sunday night.

In February 2017, Mr Kothari was declared a wilful defaulter for failing to repay loans taken from the Allahabad Bank, Bank of India, Bank of Baroda, Indian Overseas Bank and Union Bank of India. However, Kothari had approached the Allahabad High Court against this order by the banks

Rotomac emerged as a famous pen brand in the last decade, counting people like film star Salman Khan among its brand ambassadors. Mr Kothari's family also owns the popular pan masala brand - Pan Parag.

All through last year, various properties belonging to Mr Kothari and his family members were put up for auction by the concerned banks to recover part of their dues