Sanjay Chhabria Faces Fourth FIR in ₹52 Crore Yes Bank Fraud Case
Mumbai’s Economic Offences Wing (EOW) has registered a fourth FIR against builder Sanjay Chhabria, promoter of Radius Group, in connection with an alleged ₹52.12 crore fraud involving Yes Bank.
According to police officials, Chhabria’s firm, Sumer Radius Realty Pvt Ltd, allegedly diverted funds from a term loan that was originally sanctioned for the construction of its Santacruz-based project, Avenue 54. The loan, worth ₹111 crore, was approved by Yes Bank in 2016, but an audit later revealed that ₹52.12 crore was allegedly misused and transferred to other linked companies.
The case also names Chhabria’s wife, Ritu Chhabria, along with other company officials. They have been booked under charges of cheating, criminal breach of trust, and conspiracy.
Investigators said the company had regularly repaid the loan until December 2018 before defaulting, after which the account was classified as a non-performing asset (NPA) in March 2019. A forensic audit by BDO India later uncovered serious financial irregularities and alleged diversion of funds.
Police further alleged that properties mortgaged to Yes Bank were also pledged with Dewan Housing Finance Corporation Limited without the bank’s permission, leading to further allegations of breach of trust.
Chhabria, who is already in judicial custody after being arrested by the Central Bureau of Investigation in the larger Yes Bank-DHFL scam, now faces multiple investigations. Officials say the case adds to a growing list of fraud allegations linked to his business empire, with total disputed amounts running into hundreds of crores.
News source: Information for this article was gathered from a variety of reliable news outlets.
