CMD & GM of BECIL Arrested in ₹58 Crore Loan Scam, CBI Cracks Down on Bribery Nexus
The scam saw BECIL approve a ₹50 crore loan on forged documents — resulting in a ₹58 crore blow to government coffers.
BNH NETWORK
Investigators expose deep-rooted conspiracy involving fake guarantees, bribes, and massive loss to public funds.
News Highlights -
- CBI arrests BECIL’s ex-CMD and GM in ₹50 crore fraudulent loan disbursal case.
- Alleged kickback of ₹3 crore paid by Mumbai firm CEO to secure public sector funds.
- Fake performance bank guarantees used to defraud PSU.
- ₹58 crore loss reported to government-owned BECIL.
- Probe indicates larger network of corruption in public-private collaborations.
Top BECIL Officials Arrested in Multi-Crore Loan Scam
New Delhi - In a major crackdown on corporate corruption, the Central Bureau of Investigation (CBI) on Thursday arrested George Kuruvilla, the former Chairman and Managing Director of Broadcast Engineering Consultants India Limited (BECIL), and W.B. Prasad, the company’s former General Manager. Both were taken into custody in connection with a ₹50 crore loan fraud case linked to an alleged ₹3 crore bribery racket.
The arrested officers were produced before the Special CBI Court in Mumbai, which granted police custody for four days until April 19, 2025.
Fake Bank Guarantees & Bribery Exposed
CBI investigations revealed that in 2022, Kuruvilla and Prasad allegedly conspired with private individuals including Prateek Kanakia, the CEO of Mumbai-based M/s. TGBL, to fraudulently sanction and disburse a ₹50 crore venture loan.
In exchange, the arrested public officials reportedly received illegal gratification worth ₹3 crore. Investigators also found that the borrower submitted a fake performance bank guarantee (PBG) worth ₹25 crore as part of the loan approval process.
BECIL Faces ₹58 Crore Blow from Loan Default
According to CBI sources, the sanctioned loan was never used for its stated purpose and remains unpaid, pushing BECIL into a wrongful loss of approximately ₹58 crore. The scam’s scale has raised serious concerns over internal controls within public sector enterprises.
The CBI registered the case on September 3, 2024, against Kuruvilla, Prasad, and other key conspirators, including TGBL’s CEO Prateek Kanakia, under charges of criminal conspiracy, cheating, forgery, destruction of evidence, and corruption under IPC sections 120-B, 201, 420, 467, 468, and 471, along with provisions of the Prevention of Corruption Act.
Private Player, TGBL CEO, Already Behind Bars
This high-profile financial fraud first came to light with the arrest of Prateek Kanakia on March 24, 2025. The CBI secured his custody till April 1, and following the arrests of the BECIL officials, sought an extension of Kanakia’s police remand. On April 17, the court extended his police custody for an additional three days, till April 19.
Investigation Unfolds Deeper Nexus
Investigations suggest a deep-rooted nexus between BECIL officials and private players, indicating possible wider collusion in the misuse of public sector loans. The CBI is expected to question more individuals connected to the case in the coming days, with the probe continuing to widen.
