The Central Bureau of Investigation (CBI) has launched a probe against three persons running a partnership firm for allegedly causing a loss of Rs11.37 crore to Canara Bank. According to the bank’s complaint, the accused diverted loan amounts to partner companies without justification, misappropriated the funds, and used them for purposes unrelated to the borrower’s operations.
CBI sources said the complaint was filed by P Saravanan, deputy general manager of Canara Bank, Mumbai Circle office. The borrower, a partnership firm registered in Kurla (W), is engaged in optical fibre laying and maintenance using horizontal directional drilling (HDD) technology, and provides operation and maintenance services for telecom operators. Canara Bank had sanctioned various credit facilities totalling Rs11.71 crore to the firm.
During 2022–2024, the accused diverted loan amounts, misappropriated funds, and manipulated the firm’s accounts by misrepresenting stock statements, causing wrongful gain to themselves and loss to the bank. The loan account was declared an NPA in April 2023 and subsequently flagged as fraud, said a CBI official.
The official added that in criminal conspiracy with unknown public servants, the accused caused wrongful gain to themselves and a loss to the bank, committing offences of criminal misappropriation, cheating, and criminal misconduct under the Indian Penal Code and Prevention of Corruption Act.
