The Anti-Corruption Bureau has registered a case against the city's Deputy Mayor Sheikh Imran and officials of the Jammu and Kashmir Bank for alleged illegal appropriation of crores of rupees from the state exchequer, a spokesman said Saturday.
Imran, the businessman-turned-politician, is the Deputy Mayor of Srinagar Municipal Corporation (SMC).
During investigation, it was revealed that Imran, who is director of the Kehwa Group of Companies, submitted a proposal to the J&K Bank for establishment of controlled atmosphere (CA) storage under the name of Kehwa Square Pvt. Ltd. in Pulwama, the spokesman said.
A joint inspection team of various experts and government officials conducted an inspection of the site and the assessed cost of the project to Rs 33.00 crore, he said.
The subsidy component was calculated at Rs 16.50 crore -- 50 per cent of the estimated project cost (EPC) -- purportedly as per norms of Horticulture Mission for North East & Himalayan (HMNEH) states, he said.
The proposal was approved by the empowered monitoring committee of Mission for Integrated Development of Horticulture (MIDH).
After its approval, the state government also constituted a committee which conducted an inspection and then recommended release of subsidy as per norms without altering or amending the component wise value of machinery and civil works, etc., the spokesman said.
During inquiry, it also came to light that the Kehwa Group has six more business units and Imran has raised varied loan facilities /overdrafts for these units, he said.
"The liabilities on account of loan accumulated to Rs 138 crore. Since, one of the company Kehwa Square had turned non-performing asset, Imran sought one-time settlement with J&K Bank authorities," the spokesman said.