# Dheeraj Wadhawan, Former DHFL Director, Arrested in Largest Bank Fraud Case in India
On Tuesday, reports quoted officials saying that the ex-DHFL director Dheeraj Wadhawan was arrested by the Central Bureau of Investigation (CBI) on charges concerning a bank fraud.
The case involves an alleged fraud of Rs. 34,000-crore with a consortium of 17 banks, including the Union Bank of India.
Wadhawan, a DHFL promoter, was apprehended in Mumbai on Monday night and taken to a special court in Delhi on Tuesday, where he was placed under judicial custody.
Interestingly, he has already been charge-sheeted by the CBI regarding this case in 2022.
Accusations against Dheeraj Wadhawan and his incarcerated brother Kapil involve money laundering from banks to their businesses by approving loans without proper due diligence, creating false account books, and lacking adequate securities.
The CBI had already taken Wadhawan into custody for his suspected involvement in the infamous Yes Bank corruption case but was later granted bail.
This shocking financial crime totalling crores is believed to be the largest banking loan fraud in India, rocking the banking sector.
The CBI reportedly recently filed a charge sheet in the case against 33 individuals, including Alok Kumar Misra, the former chairman and managing director of Bank of India and Oriental Bank of Commerce.
Misra allegedly received a heavily discounted Rs 1.5 crore flat in Mumbai from DHFL as a kickback for approving loans while heading BOI and OBC, later merged with Punjab National Bank in 2020.
He served as BOI head from 2009 to 2012 and OBC head from 2007 to 2009.
From January 2010 to December 2019, DHFL acquired loans worth a staggering Rs 42,871 crore from a 17-bank consortium.
It is reckoned that the Wadhawan brothers rerouted these funds into shell businesses referred to as ‘Bandra Book Entities,’ causing a ruinous loss of Rs 34,936 crore to the bank consortium.
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### FAQs
**1. Who is Dheeraj Wadhawan and why has he been arrested?**
Former DHFL director, Dheeraj Wadhawan, has been arrested in connection to a large-scale bank fraud case that involves an alleged scandal of Rs. 34,000-crore with a consortium of 17 banks, including the Union Bank of India.
**2. What are the charges against Dheeraj Wadhawan?**
Dheeraj Wadhawan, along with his brother Kapil, are accused of money laundering from banks to their companies through approving loans without appropriate due diligence, falsifying account books, and without having adequate securities.
**3. What’s the significance of this bank fraud case?**
This fraud case, amounting to a hefty sum, is deemed to be the largest banking loan fraud in the history of India, causing a serious shakeup in the banking sector. This financial crime has led the CBI to file a charge sheet that includes other notable names in the banking industry.
