Enforcement Directorate Conducts Searches in SBI Vehicle Loan Fraud Case in Pune.

Headnote:

The Enforcement Directorate (ED), Mumbai Zonal Office, conducted extensive search operations on 25–26 November 2025 at 12 premises linked to borrowers, car dealers, and a former SBI Branch Manager in connection with a large-scale vehicle loan fraud at SBI, Pune. The searches were carried out under the Prevention of Money Laundering Act (PMLA), 2002. ED investigation revealed a criminal conspiracy involving forged documents, inflated quotations, and fraudulent processing of high-value car loans, resulting in wrongful loss to the bank. Several luxury vehicles and immovable properties were traced and seized under Section 17 of PMLA.

Background:

• ED initiated investigation based on FIRs registered by CBI ACB, Pune and Shivajinagar Police Station, Pune under various provisions of the Indian Penal Code, 1860 and the Prevention of Corruption Act, 1988.

• The case involves allegations that Amar Kulkarni, then Chief Manager of SBI, University Road Branch (2017–2019), abused his official position and conspired with Aditya Sethia, Auto Loan Counsellor at SBI, and a group of borrowers.

• The accused allegedly cheated SBI by fraudulently processing and recommending high-value car loans based on forged documents and manipulated loan proposals.

Court’s / Investigation Observations:

• ED found that borrowers availed high-value car loans using fabricated and forged documents, causing financial loss to the bank.

• Public servant Amar Kulkarni dishonestly processed and recommended these loan applications in violation of SBI’s lending policies and without mandatory verification of documents.

• In several cases, fake and inflated car quotations were submitted to increase loan margins, and loans were sanctioned using false documentation.

• Search operations revealed that borrowers purchased luxury cars such as BMW, Volvo, Mercedes, and Land Rover based on forged documents.

• ED identified multiple immovable properties, seized high-end vehicles, and recovered incriminating documents and materials under Section 17 of PMLA, 2002.

Legal Provisions Discussed:

• Prevention of Money Laundering Act, 2002 – Powers of search and seizure.

• Indian Penal Code, 1860 – Offences relating to cheating, forgery, criminal conspiracy.

• Prevention of Corruption Act, 1988 – Offences by public servants involving abuse of position for wrongful gain.

Status

Further investigation is underway.