The firm had been granted 'packing credit' facility and a facility for foreign bills purchase/discounting to the tune of Rs 374.49 crore, which was allegedly abused.
"It was found that no export had allegedly taken place against 184 bills. Further verification by a law firm engaged by the bank found that stocks were allegedly unavailable at all the three warehouses in China indicated by the borrower," CBI said in a statement.
Searches were being conducted today at two places in Ahmedabad and one places in Mumbai, the agency said.
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