The Economic Offences Wing (EOW) of Odisha Police has uncovered a complex Rs 3.5 crore bank fraud, resulting in the arrest of five individuals, including a Home Guard, on Tuesday. The fraudsters were involved in a sophisticated scheme that defrauded the State Bank of India (SBI) through a fraudulent Asset Backed Loan (ABL) application.
The arrested individuals have been identified as Dhananjay Prusty, Nirapada Karmakar, Surendra Kumar Beura, Niranjan Satpathy, and Rinarani Satpathy. Their arrests followed a complaint filed by Bhabani Shankar Mohanty, the Regional Manager of SBI’s Cuttack branch, and a case registered on February 18, 2023.
According to the investigation, the conspiracy began with the formation of a partnership firm, M/s Maa Ganga Enterprise, by Prusty and Beura in December 2022. By September 2023, the duo transferred their shares to Jonaki Karmakar and an individual impersonating Sarat Chandra Swain. This allowed them to apply for the loan from SBI’s Madhupatna Branch, using land documents belonging to the real Sarat Chandra Swain, who had no knowledge of the fraudulent activities.
The accused Nirapada Karmakar and Rinarani Satpathy, along with Niranjan Satpathy, were allegedly responsible for forging land documents and presenting them as an equitable mortgage to secure the loan. Once the loan was approved, the funds were diverted into accounts linked to firms controlled by Karmakar and Satpathy.
The fraud was exposed when the real landowner, Sarat Chandra Swain, attempted to sell his property and discovered that the sale proceeds were blocked by SBI. During subsequent searches at the residences of the accused, the EOW seized incriminating evidence, including cash worth Rs 51,100, fake Aadhaar and PAN cards, sale deeds, and counterfeit currency notes amounting to Rs 5,290.
In a further twist, Niranjan Satpathy, one of the main accused, is employed as a Home Guard with the Bhubaneswar Urban Police District (UPD). Investigations at his rented house in Bhubaneswar uncovered goldsmith workshop equipment, which authorities believe was purchased using the misappropriated loan funds.
The investigation is ongoing, and the EOW is working to identify other accomplices and track the full extent of the diverted funds. The case highlights the increasing sophistication of financial frauds and the challenges banks face in verifying borrower identities and collateral authenticity.
