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CBI files chargesheet against Johari brothers

Manthan Mehta

The Economic Offences Wing of the Central Bureau of Investigation has filed a chargesheet against the Johari brothers, directors of controversial Cyberspace Company Ltd, for cheating Bank of India to the tune of Rs 30 million.

The chargesheet was filed in 19th metropolitan court, Bombay, on November 26. According to CBI sources, the first information report in the case was registered on May 22, 2001 by the EOW, CBI.

The FIR was registered against Lucknow-based Cyberspace and its directors Arvind Mohan Johari, Inmac Computers Pvt Ltd and its director V Girish Babu, Kamal Infosys Ltd and its director, directors of Century Consultants, Gyanendranath Johari, Anand K Johari and some officers of the Bank of India.

The FIR was registered on the basis of complaint filed by Subodh Kumar, chief vigilance officer of the Bank of India.

As per the charges, Cyberspace Ltd 'dishonestly' obtained lease finance of Rs 28 million from Bank of Indian Lease Finance Branch, Bombay for the purchase of computers, servers and think pads from Inmac Computers Pvt Ltd.

According to CBI, Cyberspace Ltd. in connivance with Inmac 'dishonestly' diverted an amount of Rs 27.3 million to Kamal Infosys Ltd, a sister concern of Cyberspace Ltd, which in turn diverted the same amount to Century Consultants Ltd, a sister concern of Cyberspace Ltd controlled by the same directors.

CBI officials said that the amount was ultimately utilised to discharge liabilities of Century Consultants Ltd. towards Bombay Stock Exchange, thus cheating BoI, Lease Finance branch, Bombay to the tune of Rs 28 million.

The racket came to light following in mid-May after Joharis were reported to absconding in the another case. The bank officials visited the premises of the Cyberspace to ascertain whether the computers and other accessories were really purchased.

It was revealed that no such thing had been purchased and the company had availed the loan facility by submitting false invoices and bills. Johari had taken resorted to this move to pay the dues of Century Consultants Ltd to the BSE.

The Joharis were in desperate need of funds and non-payment of dues would have led to cancellation of membership of the BSE.

It may be noted that CBI, Bombay had registered a case against an ex-Chairman, Unit Trust of India, two executive directors, a general manager of Unit Trust of India and Cyberspace Ltd and its directors for causing wrongful gain of Rs 320 million to Cyberspace Ltd Bombay and corresponding loss to UTI.

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