ASSISTANT GENERAL MANAGER, STATE BANK OF INDIA, Vs. JOINT DIRECTOR AND HEAD OF ZONE, CENTRAL BUREAU OF INVESTIGATION

JUDGEMENT

(1.) These writ petitions arise from two serious complaints lodged by the petitioner bank dtd. 2/12/2022 and 14/7/2023, a public sector institution, relating to massive loan frauds involving Rs.13.11 crores and Rs.3.84 crores respectively.

(2.) The complaint dtd. 2/12/2022 (subject matter of WP(MD)No. 21743 of 2024) pertains to an alleged fraud involving Rs.13,11,12,502.00, which falls within the financial threshold prescribed for mandatory CBI reporting. It involved allegations against M/s.GPR Resources Pvt. Ltd., a private company that had availed a working capital loan of Rs.4.00 crores on 29/3/2019, which was subsequently enhanced to Rs.12.00 crores on 9/3/2020. The company submitted title deeds as collateral, supported by an RTI reply allegedly issued by the Thoothukudi Municipal Corporation (Letter No. F1/467/2020 dtd. 24/2/2020). Later, it was discovered that the RTI document had been manipulated and did not match the version held by the Municipal Corporation, indicating forgery and collusion by the accused with public officials.

(3.) The complaint dtd. 14/7/2023 (subject matter of WP(MD)No. 19001 of 2024) involves an amount of Rs.3,84,41,396.00 as of 3/7/2023, which also falls within the threshold limit for mandatory CBI reporting. It relates to allegations against M/s.Kaizen International Lines, a firm involved in the export of stone boulders, which had obtained a cash credit facility of Rs.1.20 crores on 8/2/2019, later enhanced to Rs.3.00 crores on 17/8/2019, and also availed a GECL loan of Rs.0.60 crores on 30/5/2020. The SBI Fraud Identification Committee found that the property mortgaged as security was fictitious and that the mortgagors did not possess any legal title. The total loss to the bank was assessed at Rs.3,84,41,396.00 as of 3/7/2023.