CBI books Mumbai firm directors in Rs 133-crore SBI fraud case, raids conducted

The Central Bureau of Investigation (CBI) has registered a bank fraud case involving an alleged loss of Rs 133.52 crore to the State Bank of India (SBI) and carried out searches at multiple locations linked to the directors of a Private Company in Mumbai (Maharashtra) and Cochin (Kerala).

The agency conducted raids on July 10 at premises in Mumbai and Cochin, as part of its investigation into the alleged fraud.

The case was registered on July 9 based on a complaint filed by SBI's Stressed Assets Management (SAM) Branch in Mumbai. The FIR names the directors of M/s Furnace Fabrica (India) Ltd — A.R. Basheeruddin, Badri Prasad, Nezee Basheeruddin, Raiz Basheeruddin and Sanam Basheer — along with unknown public servants and private individuals.

According to the CBI, the accused allegedly conspired to obtain enhanced credit facilities from SBI by submitting false financial information. The agency further alleged that funds availed from the bank were diverted or siphoned off for purposes other than those for which the loans had been sanctioned, resulting in a wrongful loss of approximately Rs 133.52 crore to the lender.

During the searches, investigators recovered documents and other materials that the agency said could be relevant to the probe.

The CBI said an investigation is underway to determine the full scope of the alleged conspiracy, identify the roles of all individuals involved, including public servants and private persons, and trace the end-use of the loan funds.

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