The Enforcement Directorate (ED) conducted raids on Wednesday across Jammu and Kashmir, Punjab, and Uttar Pradesh in connection with a ₹200 crore alleged bank loan fraud case involving Bharat Papers Ltd. (BPL), official sources confirmed.
At least nine locations are being searched by the agency under the Prevention of Money Laundering Act (PMLA). BPL, established in 2006, is affiliated with Bharat Box Factory Industries Limited (BBFIL), a paperboard packaging company headquartered in Jammu and Ludhiana.
The core accusation against BPL’s directors is that they orchestrated a bank loan fraud of around ₹200 crore with a consortium of banks, led by the State Bank of India. J&K Bank, PNB, and Karur Vysya Bank are among the other lenders involved.
The accused allegedly diverted funds to affiliated companies or shell entities and sold imported/domestic machinery without permission from the creditor banks, using fake invoices.
Rajinder Kumar, Parveen Kumar, Baljinder Singh, Anil Kumar, and Anil Kashyap are the directors of Bharat Papers Limited named in the case.
This raid by the ED signifies a serious investigation into the alleged bank loan fraud and could potentially lead to further action against BPL and its directors.