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Banks (Finance)

Enforcement Directorate Arrests Former UCO Bank Chairman in Bribery Case

Strategic Insights

— 1 min read

The Enforcement Directorate (ED) arrested Subodh Goel, the retired chairman and managing director of UCO Bank, for allegedly taking bribes worth over Rs 6,200 crore to sanction loans. Goel, who was appointed under the UPA government, was produced before a special court in Kolkata and remanded to ED custody until Wednesday. The ED claimed that Goel received substantial illegal gratifications from Concast Steel & Power Ltd (CSPL) during his tenure as CMD, which were later diverted and siphoned off by the borrower.

Key Takeaways:

  • Subodh Goel, former chairman and MD of UCO Bank, was arrested by the ED for allegedly taking bribes worth over Rs 6,200 crore to sanction loans.
  • The ED claimed that Goel received illegal gratifications from Concast Steel & Power Ltd (CSPL) during his tenure as CMD, which were later diverted and siphoned off by the borrower.
  • The agency has already attached properties worth Rs 510 crore of CSPL linked to its promoter, Sanjay Surekha, who was arrested on December 18, 2022.
  • The ED filed a chargesheet in the case on February 15, alleging that Goel received cash, properties, and luxury goods routed through shell companies, dummy persons, and family members.
  • The agency conducted searches on the premises of Goel and his associates on April 22, seizing details of shell companies beneficially owned or controlled by Goel and his kin.
  • The source of funds of these entities is linked to CSPL, and properties acquired through shell companies have been identified by the ED.

Statistics:

  • Rs 6,200 crore: The amount of bribes allegedly taken by Subodh Goel to sanction loans.
  • Rs 510 crore: The value of properties linked to Concast Steel & Power Ltd (CSPL) promoter Sanjay Surekha, attached by the ED.
  • 22 April: The date when the ED conducted searches on the premises of Goel and his associates, seizing details of shell companies.

Sources:

  • [Source 1: Enforcement Directorate media release, date not specified]
  • [Source 2: Times of India, 28 April 2023]

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