Rotomac Promoter Vikram Kothari Denies Fleeing The Country, CBI Knocks On His Door, Arrests Him

Following billionaire diamantaire Nirav Modi's flight leaving Punjab National Bank poorer by Rs 11,500 crore, another defaulter Vikram Kothari has grabbed the spotlight. Kothari, who availed of a loan of Rs 800 crore from five banks was reported to have fled the country, was arrested by the Central Bureau of Investigation (CBI) on Monday (19 February) morning after it filed a first information report against him. Kothari's family has also been taken in by the CBI for questioning. The Kothari family also owns the popular paan masala brand Paan Parag.

Kothari's problems crop from the loans taken from five banks – Allahabad Bank, Bank of India, Bank of Baroda, Indian Overseas Bank, and Union Bank of India. He took Rs 485 crore from the Union Bank and Rs 352 crore from the Allahabad Bank. Bank of Baroda had last year declared Rotomac Pens a "willful defaulter", amidst rumours that the banks were forced to give loans, Following the declaration of the company as a defaulter, its Kanpur office has been sealed. Kothari claimed that the company was declared a non-performing asset and not a willful defaulter and said that he had taken loans to repay his debts. The matter is reportedly pending with the National Company Law Tribunal (NCLT). Earlier on Monday, Kothari denied leaving the country, according to Business Standard. He reportedly told the local media: " I am a resident of Kanpur and I will stay in the city".