What Led to the ED's Search of 12 Locations in Pune Over SBI Car Loan Fraud?
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Synopsis
In a significant crackdown on fraudulent activities, the Enforcement Directorate has targeted 12 premises in Pune linked to a car loan scam involving the State Bank of India. This extensive operation has unveiled a network of deceit leading to the alleged misappropriation of funds.
Key Takeaways
- The ED conducted searches at 12 locations in Pune.
- Incriminating documents related to fraudulent car loans were seized.
- Amar Kulkarni, a former SBI branch manager, is implicated.
- Luxury vehicles were purchased using forged documents.
- The investigation arises from FIRs filed by the CBI.
Mumbai, Nov 28 (NationPress) The Enforcement Directorate has intensified its efforts against a vehicle loan scam involving the State Bank of India by conducting searches at 12 locations linked to loan applicants and car dealers in Pune. Incriminating documents were confiscated during the operation, according to an official report released on Friday.
The investigation by the ED uncovered that the implicated borrowers had deceitfully secured substantial car loans using forged documentation, thus defrauding the bank.
On the dates of November 25-26, the ED's Mumbai Zonal Office executed these search operations under the Prevention of Money Laundering Act (PMLA), 2002.
Included in the investigation was Amar Kulkarni, the former branch manager of SBI.
The search efforts resulted in identifying numerous properties acquired by the loan borrowers and the confiscation of several luxury vehicles, all under Section 17 of the PMLA, 2002.
This investigation was initiated following FIRs filed by the Central Bureau of Investigation, ACB, Pune, and the Shivajinagar Police Station under various provisions of the Indian Penal Code, 1860 and the Prevention of Corruption Act, 1988.
Allegations suggest that Kulkarni, during his tenure as Chief Manager at SBI’s University Road Branch from 2017 to 2019, misused his official authority and conspired with Aditya Sethia, an Auto Loan Counsellor, along with certain borrowers, to defraud SBI by improperly processing high-value car loans.
The ED claims that public servant Amar Kulkarni, in furtherance of this conspiracy, processed and endorsed high-value car loan applications for the accused borrowers in breach of the bank’s lending policies, without verifying the fraudulent documents.
In several instances, inflated fake quotations were submitted to the bank to increase the margin money included in the loan, which were subsequently approved using falsified documents, according to the ED.
The ongoing investigation and associated searches revealed that various high-end vehicles, including BMW, Volvo, Mercedes, and Land Rover, were acquired by borrowers based on falsified documentation in collusion with the loan agent and the SBI branch manager.
Point of View
This incident underscores the ongoing challenges in the banking sector regarding fraud prevention and enforcement. The ED's proactive measures highlight the necessity for vigilance against corruption, ensuring accountability within financial institutions. As the investigation unfolds, it is vital for the public to remain informed about developments that could impact trust in our banking systems.
NationPress
28/11/2025
Frequently Asked Questions
What prompted the ED's investigation into the SBI?
The ED initiated its investigation following FIRs filed by the Central Bureau of Investigation related to fraudulent car loan applications.
How many locations were searched in Pune?
The ED searched a total of 12 locations linked to loan borrowers and car dealers in Pune.
What types of documents were seized during the operation?
Incriminating documents that indicate fraudulent activity were seized during the ED's searches.
Who are the key individuals implicated in the scam?
Amar Kulkarni, a former branch manager at SBI, along with loan agent Aditya Sethia, have been implicated in the fraud.
What luxury cars were involved in the fraudulent loans?
Vehicles such as BMW, Volvo, Mercedes, and Land Rover were purchased fraudulently by the borrowers.
