ABG FRAUD 6(Conclusion)
Use of word fraud is wrong, inappropriate and misleading. It send wrong message to the society, as if Banker and businessmen had criminally connived to loot the public fund. This is not exactly the case.
The party has full control and discretion on use of money lended. Because without such freedom the party can't do day to day operation. Through monthly, quarterly, half yearly and yearly(balancesheet) headwise performance datas submitted by party, bankers monitor the account. Through queries, and counter justification by party, banks ensure proper use of funds.
Through acceptance of terms and conditions and documentation the party undertake to use funds as per the sanction.
Actual business does not go as planned. Risk is always there otherwise why Lehman brothers, Nokia, Dawoo failed. Due to such risk associated with business, party's also look for other opportunities and at point of time may divert funds. Here is what fraud element occure. This means the funds were in the pocket of the party before fraud had occured.
If banks detects any Fictitious matter it should scrutinise the point thoroughly, especially from diversion angle. Though the party is owner but it is bank's/public money which is generally 3/4 times the party's stack and so the banks are crypto owner of the unit and so should handle the issue accordingly. Prompt detection of Party' intention and timely sale of unit is the only option to save nations assets, jobs, economy.
Otherwise it is just like an investigation after a premier car crashes killing its passengers.
