Rs 620 crore bank loan fraud case: Ed arrests former UCO bank CMD Subodh Kumar Goel for money laundering expenses

The federal investigative agency said in a statement that former UCO bank CMD Subodh Kumar Goel was produced before the Special Preventive Money Laundering Act (PMLA) court in Kolkata on May 17, 2025, which sent him to ED custody until May 21, 2025. Image source: x/@dir_ed

New Delhi

The Enforcement Bureau (ED) said on May 19, 2025 (ED) that it has arrested former UCO bank CMD Subodh Kumar Goel in a suspected bank loan fraud case involving Rs 62,000 crore in connection with a company in Kolkata.

Gore was arrested at his residence in New Delhi on May 16, 2025, and the case was investigated against Concast Steel and Power Limited (CSPL) and others.

The Federal Investigation Agency said in a statement that he was produced in the Special Preventive Money Laundering Act (PMLA) Court in Kolkata on May 17, 2025, which sent him to Ed’s custody until May 21, 2025.

The money laundering case stems from sanctions on the credit lines of CSPL and subsequent large-scale “transfers” and “Siphoning”, loans and “Siphoning”, totaling Rs 62,1072 crore (no interest on principal).

ED claims that during his tenure at Goel, as the CMD of UCO Bank, a large credit facility was “approved” to CSPL and was subsequently “transferred” and “sneaky” by the borrower group. Gore, in turn, allegedly received “substantive illegal satisfaction” from CSPL. “Illegal satisfaction is layered and traditionally carried out through various entities to give a legitimate appearance.

“Investigation shows Gore was obtained by cash, real estate, luxury goods, hotel reservations, etc., and the criminal origins of the money were covered up through Shell, dummies and family,” Ed said. “It was impossible to contact Goel or his attorney in response to the ED’s allegations against him.

It claimed: “The agency said several properties acquired through Shell or virtual companies have been identified. These Shell entities are “benefitedly owned or controlled by Goel and his family.” “The sources of funding for these entities are related to CSPL,” the ED said. The evidence collected so far also suggests the use of accommodation entries and structural stratifications used by former companies to systematically address kickbacks. ”

Sanjay Sureka, the main promoter of CSPL, was arrested by ED in December 2024 and filed a charge form in the Kolkata court in February this year. The agency has placed assets worth Rs 5.1 crore in Autheka and CSPL as part of two orders placed by PMLA.