Charged with bank fraud, Ashoka University co-founders Gupta brothers step down from varsity posts

Tribune News Service
New Delhi, January 7

Ashoka University co-founders Vineet Gupta and Pranav Gupta stepped down from the university’s boards and committees on Friday—a development that comes a day after the Central Bureau of Investigation booked them for fraud.

A statement from the university said that the Gupta brothers had stepped down from their positions and were “cooperating fully with the investigations”.

“The CBI investigation of Parabolic Drugs and its Directors has nothing to do with Ashoka University,” the Sonepat-based private university said, calling the case against them a “frivolous and misleading” attempt to create a link.

“The University has over 200 founders and donors who have made personal philanthropic contributions to Ashoka. Their individual business dealings and operations have no connection to the University,” the statement from Ashoka University said.

“In keeping with the high standards for governance at Ashoka, Vineet and Pranav Gupta have already voluntarily stepped down from all Boards and Committees of the University pending the CBI case and are cooperating fully with the investigations,” the statement said.

The CBI is investigating the Guptas Guptas, a Chandigarh-based pharmaceutical company and 10 others in a case involving a few banks, including the Central Bank of India. All suspects have been accused of Rs 1,626 crore fraud. 

Investigators conducted searches at 12 locations in Chandigarh, Panchkula, Ludhiana, Faridabad, and Delhi on December 31.

The Gupta brothers are also directors of the pharmaceutical company Parabolic Drugs Ltd, which manufactures drugs and drugs intermediaries.

The CBI is investigating Parabolic Drugs Ltd for allegedly forging documents to secure a loan from the State Bank of India, UCO Bank, State Bank of Patiala, ICICI Bank, IDBI Bank, State Bank of Hyderabad, Central Bank of lndia, Union Bank of India, Bank of Baroda, Exim Bank, Canara Bank, and SIDBI.

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