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Karsan Documents Transferred To Cbi

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Last Updated : Oct 09 1996 | 12:00 AM IST

Alankus and Karanci are two senior executives of Karsan Ltd. They had been arrested by Interpol at the request of the CBI last month, in connection with the National Fertilisers Limited-urea scam.

Their accounts had been frozen at the request of the CBI soon after it took over investigations in the case in June.

Singh announced at a crowded press conference yesterday that the CBI was making efforts to ensure that $ 7.86 million in these accounts, which had been frozen following a CBI request, was brought back to the country.

The bank documents run into over 200 pages and reveal that after $ 37.62 million had been credited to Pictet Bank account of the Turkish firm, as 99 per cent advance for the deal, part of the money was withdrawn.

Efforts are in progress to locate the accounts to which the money was transferred.

A CBI team is leaving for Geneva on Thursday to seek the extradition of the two Karsan executives.

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The team had earlier been to the country to study the requirements of the courts before allowing the extradition of any person.

Officials are hopeful that the extradition of the two, who have been accused of the cheating, will be through at Geneva.

After the CBI failed to file a charge sheet in this case within 90 days, some of the accused in the case - Sambasiva Rao, Prakash Chandra, C K Ramkrishnan and D S Kanwar - were granted bail by the special CBI court.

Last month, Karsan shipped nearly 10,000 tonnes of urea, which arrived at an Indian port. However, the government refused to accept the urea as the pre-loading inspection was not permitted by Karsan officials.

Moreover, the urea supplied was not according to specifications either.

Former Prime Minister Narasimha Raos son Prabhakar Rao was also interrogated at length by the CBI and enforcement directorate in connection with the case.

He was, however, not arrested.

The government also announced its decision to cancel the contract with the Turkish firm last week, after the extended period for the supply of urea expired.

The Indian government has not decided to enter into international arbitration for the recovery of the money advanced to Karsan Ltd.

CBI officials have not succeded in locating the hawala agents who are considered to have helped in bringing the money, allegedly received as kickbacks in the deal, back to the country. They are believed to have fled to Dubai when the CBI probe started.

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First Published: Oct 09 1996 | 12:00 AM IST

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