New Delhi, May 12 (PTI) Initiatives taken by the textiles ministry has led to registering of case by the CBI against six officials of the office of Textile Commissioner, Navi Mumbai relating to fraudulent claim of subsidy, a senior government official said.

Textiles Minister Piyush Goyal gave its approval for detailed CBI investigation into the case following the "zero tolerance policy" against corruption.

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The CBI, according to the reports, has registered a case against the six officials and six Bhiwandi-based suppliers for allegedly claiming subsidies worth about Rs 6.5 crore in a fradulent manner.

The subsidies were meant for power-loom sector for modernisation. The accused had used fake stamp papers to claim these subsidies.

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"The ministry had informed the CBI about the irregularities observed in the implementation of in-situ upgradation scheme for plain power looms by Textile Commissioner," the official added.

Under the subsidy scheme under which power looms were given financial assistance for in-situ upgradation.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)