ED files Charge sheet against Branch Manager of Canara Bank in a major loan fraud case
| ➡️ Get instant news updates on Whatsapp. Click here to join our Whatsapp Group. |
The Enforcement Directorate (ED) office in Srinagar has filed a Prosecution Complaint (which is a formal charge sheet) under the Prevention of Money Laundering Act (PMLA), 2002. This complaint was filed on 18th July 2025 in the Special PMLA Court, Srinagar against several people who were involved in a major bank fraud case.
Who Are the Accused?
The people named in the complaint include:
- Mukti Nath Doley, former Branch Manager of Canara Bank
- Irfan Manzoor Darzi, Shah Nawaz Shah – SMC Tours & Travels, New Delhi
- Mohammad Parwez Mughal – Raffal World, Srinagar
- Mohammad Asaraf Dev – Rafraf Tours and Travels, Budgam
- Sayed Kaushar Niyazi – Syed Tours and Travels, Srinagar
- Rayees Manzoor Darzi – Rayees Tour and Travels
- Mudasir Nazir Wani – Travel King
- Irfan Rashid Khan – JK Makkah Jewelers, Rajouri
- Ishfaq Ahmad Zargar – Nikha Ornaments, Srinagar
- Khalil Ahmad Mughal – JK Gold Jewelry, Rajouri
These individuals are accused of cheating Canara Bank’s Budshah Chawk Branch in Srinagar and causing a huge financial loss.
How Did the Case Start?
The investigation began after Maisuma Police Station, Srinagar registered a First Information Report (FIR) against these people. The ED then started its own investigation based on that FIR.
What Did the Investigation Find?
The ED found that in 2014, the accused persons (including the former bank manager Mukti Nath Doley) worked together with 26 other borrowers. They took cash credit loans worth around ₹30 Crore from Canara Bank by creating fake proprietorship firms (businesses that didn’t really exist).
They submitted fake documents to the bank to get these loans. After getting the money, they transferred it to various bank accounts, and then used it for personal use instead of using it for business.
These loans were given by violating Canara Bank’s rules and policies, and by ignoring proper checks.
What Happened Next?
Since these businesses were fake and the money was misused, the loans were never repaid. Starting from 2016, these loans started becoming Non-Performing Assets (NPAs), which means the bank stopped getting payments for them. This caused a huge loss to public money, as banks use public deposits for giving out loans.
Personal Gains and Property Attachments
A large part of the loan money was divided and used by Mukti Nath Doley, Shahnawaz Shah, Irfan Manzoor Darzi, and others for their personal benefit.
The ED has already attached properties worth ₹4.81 Crore (seized as part of the investigation). These properties belong to some of the accused like Ishfaq Ahmad Zargar, Asaraf Dev, Sayed Kauser Niyazi, Khalil Ahmad Mughal.
The Special Court in Srinagar has accepted the Prosecution Complaint, and the case will now move forward in court. The investigation is still ongoing, and more action may be taken depending on what is uncovered next. More details will be released soon.