The Central Bureau of Investigation (CBI) has registered a case over an alleged ₹19.30 crore loan fraud involving Nataraj Rice Mills Private Limited and eight other accused. The case follows a complaint filed by Bank of India’s Ranchi Zonal Office, which alleged that credit facilities sanctioned to the rice-milling company were diverted from their approved business purposes.
The CBI registered the case on November 3, 2026. Its Economic Offences Branch in Kolkata will investigate the alleged misuse of loan funds, examine financial transactions and establish the possible roles of the individuals and companies named in the complaint.
The case highlights concerns around the monitoring of large corporate credit facilities and the importance of financial accountability in banking transactions.
What Led to the CBI Investigation?
The investigation began after Bank of India’s Ranchi Zonal Office submitted a complaint through Aseem Kumar, Deputy Zonal Manager in the bank’s Recovery Department.
According to the complaint, Nataraj Rice Mills Private Limited had received credit facilities from the bank over several years. The lender alleged that the company did not use the borrowed funds for their sanctioned purposes and that the money was diverted, resulting in substantial outstanding dues.
The CBI has registered the case to examine these allegations and determine whether the loan transactions involved criminal wrongdoing.
How Much Loan Did Bank of India Sanction?
According to the bank's complaint, credit facilities amounting to ₹20.43 crore were sanctioned to Nataraj Rice Mills Private Limited between 2013 and 2025.
The facilities reportedly included:
Cash credit limit: ₹17 crore
Working capital term loan: ₹3.43 crore
Total sanctioned credit: ₹20.43 crore
The loan account was classified as a non-performing asset (NPA) on June 24, 2025. At the time of classification, the outstanding amount reportedly stood at ₹19.30 crore.
The distinction between the total sanctioned credit and the outstanding amount is important: ₹20.43 crore represents the credit facilities approved by the bank, while ₹19.30 crore is the reported outstanding amount when the account became an NPA.
Who Are the Nine Accused Named in the Case?
The CBI has named nine accused in the case, including the borrowing company, five former directors and three other corporate entities.
The five former directors named in the complaint are:
Vivek Kumar Banka
Neelu Banka
Neeraj Kumar Banka
Sandeep Kumar
Ritesh Kumar Binjrajka
The other companies named as accused are:
Delight Investment Consultants Private Limited
Laxmi Dealmark Private Limited
Tirupati Stock Consultants Private Limited
The complaint also refers to unidentified public servants and other individuals whose possible involvement may be examined during the investigation.
The inclusion of these individuals and companies in the CBI case does not, by itself, establish their involvement or criminal liability. Their respective roles will need to be assessed through evidence gathered by investigators.
What Will the CBI Examine Next?
The CBI's Economic Offences Branch in Kolkata will investigate the alleged diversion of loan funds and examine the financial transactions connected with the sanctioned credit facilities.
Investigators are expected to scrutinise the borrowing company's financial records, the movement and utilisation of funds, relevant banking documents and the roles of the former directors and other entities named in the complaint.
The investigation will also seek to establish whether the funds were used for purposes different from those approved by the bank and whether any other parties were involved.
Cases involving alleged diversion of corporate loans often require detailed examination of financial statements, transaction records and supporting documentation. Effective financial investigation services can help businesses and stakeholders understand suspicious financial movements and assess potential irregularities.
Investigation Underway, Allegations Yet to Be Established
The registration of the CBI case marks the beginning of a formal investigation into the alleged ₹19.30 crore loan fraud involving Bank of India and Nataraj Rice Mills Private Limited.
The agency will now examine the evidence and determine whether the allegations in the bank's complaint are supported by financial records and other material.
At this stage, the allegations remain unproven. The investigation and subsequent legal proceedings will determine responsibility, if any, among the accused.