CBI Raids Kolkata in ₹191-Crore PNB Fraud Probe; Directors of Three Companies Under Scanner

(Judicial Quest News Network)

Kolkatta,18, June,2026-In a major crackdown on alleged large-scale banking fraud, the Central Bureau of Investigation (CBI) on Tuesday carried out coordinated searches across Kolkata in connection with three separate cases involving alleged diversion, siphoning, and fraudulent misappropriation of Punjab National Bank (PNB) funds amounting to nearly ₹191 crore.

The searches, conducted on June 17, 2026, covered eight locations in West Bengal and targeted the residential premises of directors and key individuals associated with M/s Tantia Construction Ltd., M/s Brahm Alloys Ltd., and M/s Amrit Feeds Ltd.

The operation forms part of an ongoing investigation into allegations that the companies secured substantial credit facilities from PNB and subsequently diverted the funds in violation of banking norms and loan conditions.

According to officials, the search operations led to the recovery and seizure of documents considered incriminating to the ongoing investigation. The agency is currently examining the seized material to trace the flow of funds and determine the extent of the alleged conspiracy.

Tantia Construction Case: ₹73-Crore Alleged Fraud

The first case relates to M/s Tantia Construction Ltd., which is accused of causing a wrongful loss of approximately ₹73 crore to Punjab National Bank through alleged misuse of Cash Credit and Term Loan facilities sanctioned by the bank.

Investigators allege that the company resorted to a sophisticated pattern of fund diversion by channeling loan proceeds towards long-term capital requirements of subsidiary and associate concerns.

The company is also suspected of routing substantial amounts through non-standard accounts, thereby obscuring the actual utilization of the funds.

The CBI is examining whether the transactions were structured to conceal the diversion of bank finance and whether company officials knowingly violated the terms under which the credit facilities were granted.

Brahm Alloys Under Lens for ₹58-Crore Diversion

In a separate case, M/s Brahm Alloys Ltd. has been accused of defrauding Punjab National Bank to the tune of ₹58 crore through alleged misuse of Cash Credit facilities.

According to the allegations under investigation, the company diverted borrowed funds into equity investments in its group entities while simultaneously maintaining undisclosed current accounts with other banks.

The probe agency is also scrutinizing alleged manipulation of books of account and accounting records to conceal the true financial position of the company and the movement of funds.

The searches conducted at the residences of the company’s directors reportedly yielded documents that investigators believe may provide insight into the financial transactions under scrutiny.

Amrit Feeds Case: Allegations of Siphoning and Asset Disposal

The third case concerns M/s Amrit Feeds Ltd., where the alleged fraud is estimated at approximately ₹60 crore involving Cash Credit and Term Loan facilities extended by Punjab National Bank.

The company and its promoters are accused of fraudulently misappropriating and siphoning off funds intended for business operations.

Investigators allege that public money entrusted through banking channels was diverted for the benefit of associate and sister-concern companies.

One of the more serious allegations in the case pertains to the disposal of tangible assets allegedly undertaken without obtaining the consent of lending institutions.

The agency is examining whether such transactions were intended to defeat the interests of creditors and reduce the recoverability of bank dues.

₹191 Crore Cumulative Loss to Public Sector Bank

Collectively, the three cases involve an alleged wrongful loss of approximately ₹191 crore to Punjab National Bank, one of India’s largest public sector lenders.

The investigations are expected to focus on tracing the end-use of borrowed funds, identifying beneficiaries of diverted money, examining related-party transactions, and determining whether a criminal conspiracy existed among company officials and other persons involved.

The latest searches signal an intensification of the CBI’s scrutiny of corporate loan frauds and financial irregularities affecting public sector banks.

With substantial documentary evidence now under examination, investigators are expected to reconstruct the financial trail and assess potential violations under criminal law, banking regulations, and anti-corruption statutes where applicable.

The CBI has stated that further investigation in all three cases is continuing.