Key Highlights
- ED searches at 8 locations in Nagpur, Bhandara (Maharashtra) and Guntur (Andhra Pradesh).
- Probe targets Ramana Rao Bolla, Nutan Rakesh Singh & associates in an alleged ₹152.90 crore bank fraud.
- Seizure/freezing: ₹10 lakh cash, property papers, devices, bank balances, insurance policies; immovable assets identified ₹100+ crore.
- Modus operandi: 212 accounts opened using farmers’ documents; loans of ₹49–50 lakh each siphoned off.
The Enforcement Directorate (ED) conducted coordinated searches at eight premises across Nagpur and Bhandara in Maharashtra and Guntur in Andhra Pradesh as part of a money-laundering investigation into an alleged bank fraud exceeding ₹152 crore. The probe focuses on Ramana Rao Bolla, Nutan Rakesh Singh, and their associates. Both principal accused were earlier arrested by Nagpur Police and are currently in judicial custody.
Alleged Modus Operandi
According to the ED, two syndicates using a similar playbook procured Aadhaar and other KYC documents from farmers under the pretext of helping them open bank accounts to receive crop compensation. Using these documents, the accused allegedly:
- Opened 212 bank accounts in farmers’ names.
- Secured loans of about ₹49–50 lakh per account against grain pledged in warehouses using forged records.
- Diversified and siphoned funds for personal use, pushing accounts into default and causing heavy losses to the bank.
Recoveries & Freezes During Searches (PMLA, 2002)
- ₹10 lakh in cash seized.
- Property papers, digital devices, and extensive incriminating documents.
- Freezing of movable assets: bank balances and insurance policies.
- Identification of immovable properties worth ₹100+ crore, per the agency.
Case Background
The ED action stems from FIRs filed by Maharashtra Police against Bolla, Singh and others for allegedly cheating the then Corporation Bank (now Union Bank) and several farmers to the tune of ₹152.90 crore. The bank reportedly detected anomalies in 2017 after loans were found sanctioned in the names of unaware farmers and subsequently misappropriated.
Breakdown of the Two Syndicates (as alleged)
1) Ramana Rao Bolla-led group
- Opened 158 accounts at Corporation Bank’s Umarkhed branch (with alleged connivance of then Asst. Manager Sandeep Revnath Jangale).
- Loans of ~₹49–50 lakh per account sanctioned; signatures of farmers allegedly taken, cheques retained.
- Funds routed to 24 accounts; Bolla acted as guarantor in all cases.
- Accounts turned NPA; reported loss to bank of around ₹113 crore.
2) Nutan Rakesh Singh-led group
- Similar alleged pattern, involving the same branch/officials.
- Loans totaling ₹25.07 crore in the names of 54 farmers.
- Funds allegedly diverted; ₹39.43 crore loss to the bank.
Use of Proceeds (as alleged)
The ED alleges the siphoned funds were used to purchase properties in the names of the accused, their family members, and entities controlled by them. Portions of the funds were allegedly deployed to refinance older loans through other entities.
Note: The above details are based on statements attributed to the Enforcement Directorate. The matter remains under investigation, and the presumption of innocence applies until due process concludes.
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