"In most NPA situations we have seen some element of diversion of funds in real estate either through buying benami properties in India or for buying properties in the Middle East. While informationsharing system with the Western countries is becoming quite transparent now, we hit a wall when money is funnelled through Dubai or any other Middle Eastern countries, and so investigations could only establish fraud through circumstantial or corroborative evidence. Some NPA cases have not been resolved because forensic audits revealed fund diversion by promoters,"
Partner, Grant Thornton India LLP
This article apeared in Times of India on 22nd April, 2017.