Odisha EOW arrests man in ₹6.88 crore SBI loan fraud case
Synopsis
A middleman who allegedly helped fabricate employment records for 282 fake SBI loans worth ₹6.88 crore has been arrested by Odisha's EOW — the fifth arrest in a case that has already netted three bank insiders. The fraud exploited SBI's Xpress Credit scheme using forged documents from major corporates including Tata Steel and Vedanta.
Key Takeaways
Pradipta Kumar Lenka of Cuttack was arrested by the Odisha EOW from Bhubaneswar on 28 May 2026 .
The fraud involved 282 Xpress Credit Loans worth ₹6.88 crore availed from four SBI branches between May 2022 and November 2023 .
Fake employment documents were used, impersonating employees of Tata Steel , Vedanta , TPCODL , Dhamra Port , and Aarati Steels . ₹3.23 lakh from loan accounts was allegedly diverted to Lenka's account; outstanding NPA stands at ₹6,88,29,323 .
Four earlier arrests include three bank officials — Smruti Ranjan Mohanty , Baishakhi Saha , and Charubala Dandasena — all in judicial custody .
The Economic Offences Wing (EOW) of the Odisha Police has arrested Pradipta Kumar Lenka of Cuttack in connection with a ₹6.88 crore bank loan fraud case involving the State Bank of India (SBI). Lenka was apprehended from Bhubaneswar on Wednesday, 28 May 2026, in a case registered at the EOW Police Station on 5 May 2026, based on a complaint filed by Shiba Sundar Sahoo, Regional Manager, SBI, RBO, Bhubaneswar.
How the Fraud Was Carried Out
According to the EOW, the accused persons allegedly entered into a criminal conspiracy to avail 282 Xpress Credit Loans totalling ₹6.88 crore from four SBI branches — Rail Vihar Branch (150 loans), Fortune Tower Branch (115 loans), Patia Branch (8 loans), and Damana Branch (9 loans) — between May 2022 and November 2023.
The loans, meant for the corporate and government sector, were allegedly sanctioned in favour of 282 ineligible individuals using forged employment records — including fake salary certificates, employment details, bank statements, and KYC documents — purportedly from companies such as Tata Steel Ltd., TPCODL, Vedanta Ltd., Dhamra Port, and Aarati Steels Ltd.
Role of the Arrested Accused
Investigators found that Lenka acted as a middleman, facilitating the preparation of fake documents in exchange for financial gain. According to the EOW, ₹3.23 lakh from the fraudulently obtained loan accounts was allegedly diverted directly into Lenka's account.
After the loans were disbursed, the borrowers allegedly defaulted on their EMI payments, causing the accounts to turn into non-performing assets (NPAs). The outstanding amount stands at ₹6,88,29,323, according to the EOW's press statement.
Earlier Arrests in the Case
Lenka's arrest brings the total number of accused taken into custody to five. Four persons had previously been arrested, including three bank officials: Smruti Ranjan Mohanty, Baishakhi Saha, and Charubala Dandasena, along with Sarita Paikaray. All four are currently in judicial custody.
EOW officials have also seized several incriminating materials, including a mobile handset suspected to contain evidence related to the fraud. This comes amid a broader pattern of Xpress Credit loan frauds targeting public-sector banks across India, where the ease of digital disbursement has been exploited through document forgery.
What Happens Next
Lenka is expected to be produced before a court in Bhubaneswar for remand proceedings. The EOW investigation is ongoing, and further arrests have not been ruled out as officials continue to trace the network of middlemen and document forgers involved in the scheme.
Point of View
Designed for speed, remain structurally vulnerable to KYC forgery unless real-time employer verification is mandated.
NationPress
6 Aug 2026
Frequently Asked Questions
Who is Pradipta Kumar Lenka and why was he arrested?
Pradipta Kumar Lenka is a resident of Cuttack, Odisha, arrested by the EOW on 28 May 2026 for allegedly acting as a middleman in a ₹6.88 crore SBI loan fraud. He is accused of facilitating the preparation of fake employment documents used to obtain 282 fraudulent Xpress Credit loans.
What is the ₹6.88 crore SBI Xpress Credit loan fraud in Odisha?
It involves the alleged fraudulent sanctioning of 282 Xpress Credit loans worth ₹6.88 crore from four SBI branches in Bhubaneswar between May 2022 and November 2023. The loans were obtained using forged salary certificates and KYC documents in the names of employees of companies like Tata Steel, Vedanta, and Dhamra Port.
How many people have been arrested in this case so far?
Five people have been arrested in total, including the latest accused Pradipta Kumar Lenka. The earlier four arrests include three SBI bank officials — Smruti Ranjan Mohanty, Baishakhi Saha, and Charubala Dandasena — and one other individual, Sarita Paikaray, all currently in judicial custody.
How did the fraud go undetected for so long?
According to the EOW, the accused used fake salary certificates, employment details, bank statements, and KYC documents to pass verification checks across four branches. The involvement of bank insiders is believed to have helped the fraudulent applications clear internal scrutiny. The investigation is ongoing.
What is the current outstanding loan amount classified as NPA?
The total outstanding amount that turned into a non-performing asset (NPA) after borrowers stopped paying EMIs is ₹6,88,29,323, according to the EOW's official statement.
