The CBI has registered two separate cases on a complaint from Bank of India against certain directors of private companies based at Punjab and others on the allegations of cheating it to the tune of nearly Rs 61.01 crore and Rs 28.30 crore respectively. CBI has conducted searches at various locations, including Hoshiarpur, Gurdaspur, Amritsar & Pathankot (all in Punjab) and recovered several incriminating documents.

The first case was registered under Section 120-B r/w 420, 467, 468 & 471 of IPC & Section 13(2) r/w 13(1) (d) of Prevention of Corruption Act, 1988 and substantive offences thereof against a private rice mill based at Mandi Gurdaspur (Punjab) & its four directors; another private firm based at Swank Mandi, Amritsar (Punjab) and unknown persons & unknown public servants. The CBI officials said that the accused, in pursuance of a conspiracy, induced Bank of India to sanction credit facilities on the basis of forged / fabricated stock statements, balance-sheets etc and cheated the bank by not repaying the loan to the tune of nearly Rs 61.01 crore. The second case was registered u/s 120-B r/w 420, 467, 468 & 471 of IPC & Sec 13(2) r/w 13(1) (d) of Prevention of Corruption Act, 1988 and substantive offences against a private Agro Tech Company based at Mandi Gurdaspur (Punjab) & its four directors; another private firm based at Mohan Market, Pathankot (Punjab) and unknown persons & unknown public servants. It was alleged that the accused, in pursuance of a conspiracy made Bank of India sanction credit facilities on the basis of forged/fabricated stock statements, balance-sheets etc. and cheated the bank by not repaying the loan to the tune of nearly Rs. 28.30 crore.