(Adds proposes share price in second paragraph.)

June 22 (Bloomberg) -- The board of Empresas La Polar SA, the Chilean retailer under investigation for consumer-lending fraud, proposed selling 250 million new shares, according to Cristina Acle, head of equity research at the brokerage unit of Corpbanca, who attended a La Polar shareholder meeting today.

Under the proposal, which would require shareholder approval, the company would sell the shares at 400 pesos each to raise 100 billion pesos ($212 million), Acle said by telephone from the meeting in Santiago.

To contact the reporter on this story: Eduardo Thomson in Santiago at ethomson1@bloomberg.net

To contact the editor responsible for this story: James Attwood at jattwood3@bloomberg.net