Mumbai | The Central Bureau of Investigation (CBI) has registered a criminal case against five directors of Mumbai-based Furnace Fabrica (India) Ltd, along with unknown public servants and private individuals, in connection with an alleged ₹133.52 crore bank fraud that caused significant financial loss to the State Bank of India (SBI). The agency alleges that the accused conspired to obtain credit facilities beyond their eligibility by submitting false and misleading financial information and subsequently diverted the loan funds from their sanctioned purpose. As part of the investigation, the CBI conducted searches at multiple premises in Mumbai and Kochi, seizing key documents, digital records and other evidence relevant to the case.
According to the CBI, the case was registered on the basis of a complaint filed by the Stressed Assets Management Branch of SBI, Mumbai. The FIR names the company’s directors—A.R. Basheeruddin, Badri Prasad, Nezee Basheeruddin, Raiz Basheeruddin and Sanam Basheer. The agency is also examining the possible involvement of unknown public servants and other private individuals. Investigators said preliminary findings indicate large-scale financial irregularities and a well-planned criminal conspiracy.
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The agency alleges that the company and its directors submitted false financial statements, inflated financial information and other misleading documents to project a stronger financial position before the bank. Based on these representations, they allegedly secured higher credit facilities than they were entitled to receive. The complaint further states that the loan funds were diverted and utilised for purposes other than those for which they had been sanctioned, resulting in a wrongful loss of ₹133.52 crore to SBI.
During the search operations, the CBI recovered several documents and electronic records believed to contain crucial evidence regarding the alleged fraud, financial transactions and utilisation of loan funds. Investigators are now conducting a detailed forensic examination of bank accounts, company records, digital communications, accounting documents and other financial evidence. The objective is to determine the ultimate destination of the loan proceeds, trace the movement of funds and establish the role of every individual involved in the alleged conspiracy.
Officials said the investigation will not remain limited to the company’s directors alone. If evidence establishes that any public servant or private individual facilitated the fraudulent loan sanction, document verification or diversion of funds in violation of banking rules, appropriate legal action will be taken. The agency said it is examining all aspects of the loan approval process and related financial transactions to uncover the full extent of the alleged conspiracy and fix accountability on all those responsible.
The CBI also referred to another bank fraud case registered recently against a Mumbai-based communications company and its directors following a complaint from Punjab National Bank (PNB). In that case, involving an alleged fraud of ₹30.63 crore, the accused are alleged to have obtained higher cash credit facilities from PNB and other consortium banks by submitting inflated debtor figures and other false financial information. Searches were also carried out in that investigation, leading to the seizure of documents and digital evidence.
According to the CBI, investigations in both cases are continuing to examine financial transactions, the loan sanction process, the authenticity of documents, the movement of funds and the possible involvement of public officials and private individuals. The agency said further legal action will be taken based on the evidence collected during the course of the investigation, and any additional persons found involved in the alleged fraud will also face action in accordance with the law.
About the author — Suvedita Nath is a science student with a growing interest in cybercrime and digital safety. She writes on online activity, cyber threats, and technology-driven risks. Her work focuses on clarity, accuracy, and public awareness.
