INDORE: Indore bench of Madhya Pradesh high court has rejected the bail application of Sharad Kabra, former vice-president of Zoom Developers Pvt Ltd, accused in Rs 2,500-crore money laundering case.
Justice PK Jaiswal rejected the bail application given the seriousness of offence. Earlier, a local court here had turned down the application on similar grounds, against which Kabra had moved the high court.
From 2005 to 2010-11, Zoom Developers Pvt Ltd, an engineering procurement and construction firm registered in Indore and operating from Mumbai, had taken loans worth Rs 2,200 crore from more than 20 banks for various projects in European countries. None of the projects ever started and loans were siphoned off through dummy firms.
The money was transferred to dummy companies and properties were bought in the name of Zoom Developers in and outside India. Land in California was purchased in the company\'s name.
The case is considered to be one of the biggest bank loan frauds in the country.