New Delhi, June 17 (IANS): The CBI on Wednesday registered a case against former union Textile Minister Shankarsinh Vaghela and six others for allegedly causing a loss of Rs.709.27 crore to the government through the sale of NTC land in Mumbai.

Vaghela, a senior Congress leader, is the Leader of Opposition in the Gujarat state assembly and also a former chief minister of the state.

Others included the then chairman-cum-managing director of National Textile Corporation (NTC).

The Central Bureau of Investigation (CBI) said that the FIR has been registered against Vaghela, the Congress leader, former NTC CMD Ramachandran Pillai, former Director (Technical) NTC R.K. Sharma, former Senior Manager(Legal) NTC M.K. Khare and Director of Hall and Anderson Ltd Kamlesh Mehta.

The case has been also registered against Kolkata-based Hall and Anderson Ltd. and other unknown people.

Soon after registering the case under charges of criminal conspiracy, cheating and Prevention of Corruption Act, the CBI conducted raids at nine locations in four cities--New Delhi, Gandhinagar, Mumbai and Kolkata.

"The raids were conducted at the official and residential premises of the accused. We have recovered Rs.13.33 lakh each from the residents of Vaghela and Pillai," said a CBI official.

The FIR comes after over-a-year-long preliminary enquiry into the matter, the sources said.

"It was alleged that the accused entered into a criminal conspiracy and transferred the land at Mumbai-owned by National Textile Corporation to a Kolkata-based private firm in a wrongful manner, for a total consideration of Rs.29.35 crores (approx), whereas the actual value of the land was much higher," said the official.

"An alleged loss of Rs.709.27 crore was caused to the government exchequer," the official added.