3. COMPANIES STARTED
BY HIM….
Financial consultancy firm, “CRB
consultancy” in calcutta (1980)
“CRB consultants”, a private limited
company in new delhi (1985)
The name of the company was
changed to “CRB capital markets
(CRB caps)” and it was converted
into a public limited company (1992)
CRB Corporation Ltd (1993)
CRB Mutual Funds (1994)
CRB Share Custodial Services (1995)
4. AMOUNT AND YEAR OF SCAM……
• ₹ 230 cr. From market through Arihant Mangal Growth
Scheme in Aug 1994
• ₹ 180 cr. Raised from investors through fixed deposit
in Aug 1994
• ₹ 176 cr. Raised from public in 1995 (CRB capital
market)
• ₹ 84 cr. Raised through three public issues between
may 1993 – dec 1995 (CRB corporation ltd.)
• ₹ 100 cr. Jan 1995 (CRB share custodial services)
• ₹ 900 cr. When market was under post- harshad Mehta
scam between 1992 – 1995
5. THE MAN AND THE MESS!!!
• Suspicions aroused when CRB cap’s net worth grew from ₹ 2 cr. in
1992 to ₹ 430 cr. in 1996
• It was mid 1996 that reports regarding frauds being committed by
the RBI group began appearing in media.
• An fir was filed against CRB for
the corruption
• Bhansali was found charged for
cheating,fraud and siphoning off of
funds from SBI
• He was jailed for 3 months
6. THE MODUS OPERANDI….
• Dummy companies
• Rigging share prices through own money
• CRB share custodian invested Rs, 15 crores in CRB mutual funds.
The latter held 24 lakhs share of CRB Corporation which again
had a Rs 16 crores investment in CRB capital market
• As a result CRB caps reported that market value of its
investment rose from Rs 76 crores to Rs 109 crores in 1995-1996
• CRB corporation income more than doubled between 1994-1996
