SRINAGAR : The Anti-Corruption Bureau (ACB) Jammu and Kashmir has registered a case against the then Branch Head of J&K Grameen Bank, Branch Office Reban in Sopore, Baramulla, a Business Correspondent and others over alleged financial irregularities in the implementation of government-sponsored schemes, including the Prime Minister’s Employment Generation Programme (PMEGP).
The case, FIR No. 05/2026, has been registered against Arvind Saini, the then Branch Head of J&K Grameen Bank, Reban branch, and Firdous Ahmad Sheikh, a Business Correspondent, among others, for allegedly misusing their official positions and violating PMEGP operational guidelines.
According to the ACB, a verification conducted by the agency found that Saini, allegedly in conspiracy with Sheikh, prematurely released or reversed capital subsidy amounting to Rs 41.17 lakh in 25 PMEGP loan accounts.
The subsidy was allegedly adjusted before the expiry of the mandatory lock-in period and without obtaining the requisite authorisation or adjustment letter from the implementing agency, the ACB said.
The agency said the alleged action facilitated the premature closure or adjustment of the concerned loan accounts in violation of PMEGP guidelines.
Among the 25 accounts, six loans had reportedly been sanctioned in favour of Business Correspondent Firdous Ahmad Sheikh and his family members, which were subsequently closed prematurely through adjustment of the subsidy, according to the ACB.
The verification further found that 46 PMEGP units financed through the branch, involving sanctioned and disbursed loans totalling Rs 1.66 crore, were allegedly not found in existence during physical verification.
The ACB said the findings indicated possible diversion of loan funds and subsidy and alleged that the actions had frustrated the objectives of the PMEGP scheme.
The case has been registered under Section 13(1)(a) read with Section 13(2) of the Prevention of Corruption Act, 1988, as amended in 2018, along with Sections 409 and 120-B of the IPC.
Further investigation into the case is underway.
