In a dramatic escalation of one of India’s largest bank fraud cases, the Enforcement Directorate (ED) has arrested Subodh Kumar Goel, the former Chairman and Managing Director of UCO Bank, in connection with a ₹6,210.72 crore money laundering investigation tied to Concast Steel & Power Ltd (CSPL). The arrest comes after extensive tracking of layered financial transactions, shell entities, and illicit assets.
From Boardroom to Custody: Top Banker Held in High-Profile Scam
On May 16, 2025, officials from the ED’s Kolkata Zonal Office arrested Subodh Kumar Goel from his residence in New Delhi. The arrest is a major development in the ongoing investigation into a massive corporate loan fraudallegedly orchestrated by CSPL and its promoters. Goel was presented before the Special PMLA Court in Kolkata on May 17, where he was remanded to ED custody till May 21.
The ED’s probe—initiated on the basis of a CBI FIR filed by BSFB, Kolkata—focuses on the sanctioning of credit facilities by UCO Bank to CSPL during Goel’s tenure. Investigators allege that the funds were systematically siphoned off, and that Goel received substantial illegal gratification, including cash, real estate, luxury items, and family travel perks, routed through front companies and dummy accounts to disguise their criminal origin.
A Web of Shell Firms, Fronts, and Family: How Kickbacks Were Allegedly Laundered
The investigation revealed an elaborate network of shell entities, beneficially owned or controlled by Goel and his family members. These entities were allegedly used to route kickbacks from CSPL, masking them as legitimate transactions. The ED claims to have identified several immovable properties acquired through such entities, all tracing back to diverted bank funds.
The agency says that funds were layered across accounts, laundered via accommodation entries, and distributed through structured front companies, making the trail difficult to trace without advanced forensic audits. Search operations conducted on April 22, 2025, at Goel’s properties reportedly uncovered incriminating documents detailing the flow of illegal funds and the extent of gratification.
The ED has stated that Goel’s role was not merely passive but central to the sanction and concealment of these illicit operations.
A Pattern of Corporate Loot: CSPL Under Deep Scrutiny
This is not the first major breakthrough in the CSPL case. The main promoter, Sanjay Sureka, was arrested in December 2024 and remains in judicial custody. The ED has previously attached assets worth ₹510 crore linked to CSPL and Sureka under two separate provisional orders.
Searches across multiple cities have yielded extensive documentary evidence indicating fraudulent fund diversion, fake invoicing, and undue influence in loan sanctions. A detailed Prosecution Complaint was filed by the ED before the Chief Judge, City Sessions Court, Kolkata, on February 15, 2025, setting the legal groundwork for wider arrests and trials.