CBI books jewellery firm for ₹145.69 cr bank fraud

CBI has charged Ahmedabad's JJ Private Limited with ₹145.69 crore bank fraud involving SBI and other banks, linked to loan defaults and misconduct.

MUMBAI: The Central Bureau of Investigation (CBI) has booked an Ahmedabad-based jewellery firm, JJ Private Limited, and various others for alleged bank fraud worth ₹145.69 crore. The firm had defaulted on loans from a consortium of banks led by the State Bank of India (SBI) and its transactions with the consortium between April 2009 and March 2014 are under the scanner, CBI officials told Hindustan Times.

CBI books jewellery firm for ₹145.69 cr bank fraud

The first information report (FIR) regarding the alleged fraud was registered by the CBI’s Mumbai unit on March 9, based on a complaint from a deputy general manager at the SBI. The FIR was lodged under sections of the Indian Penal Code pertaining to criminal conspiracy, cheating and misconduct, and the Prevention of Corruption Act. Apart from the SBI, the consortium allegedly defrauded by the firm includes Bank of India (BOI) and Indian Overseas Bank (IOB), Ahmedabad.

According to the complaint, JJ Private Limited is engaged in manufacturing and trading of silver and gold bars, jewellery and diamonds. The firm cheated the SBI-led consortium of ₹145.69 crore, as on December 31, 2025 – including the SBI’s ₹73.5 crore, the BOI’s ₹45.89 crore and the IOB’s ₹26.30 crore, in addition to accrued interest.

JJ Private Limited’s loan account was restructured by the consortium in September 2013 but it still could not not meet its repayment obligation, the complaint said. After the restructuring failed, the account was classified as a non-performing asset (NPA) – by the SBI in July 2013, and by the BOI and the IOB in September 2013.

Subsequently, the consortium banks conducted separate forensic audits that found collusion of certain accused persons in commission of illegal activities, including manipulation of accounts, diversion and misappropriation of funds, and related-party transactions. Accordingly, JJ Private Limited’s loan accounts were declared “fraud” in 2022-2024 and the matter was reported to the Reserve Bank of India (RBI), CBI officials said.