Systemic Loan Fraud Involving SBFC and ICICI Bank Exposed
* Abroad-based NRI Dragged into Loan Scam
* Fake Co-Applicants, Real Consequences
Unmesh Gujarathi
Sprouts News Exclusive
Contact: +91 9322755098
Sprouts News Exclusive
Contact: +91 9322755098
A Qatar-based Non-Resident Indian (NRI) alleges a fraudulent mortgage loan was sanctioned using forged documents by SBFC Finance and ICICI Bank while he was abroad. Despite a 191-day-old RBI complaint, no action has been taken. The Sprouts News Investigation Team (SIT) exposes systemic forgery, harassment, insurance fraud, and regulatory negligence in the case.
Contents
- Systemic Loan Fraud Involving SBFC and ICICI Bank Exposed
- Forged Signatures, Identity Theft & KYC Violations
- Disbursement Irregularities & Questionable Applicant Profile
- Harassment of Family After Father’s Death
- Insurance Scam and Dual Recovery Tactics
- RBI Inaction: 191 Days and Counting
- Also Read: Congress‑linked Shivji Prabhunarayan Singh & Mishra Builders Housing Scam.
- Parkar’s Demands: Legal Action & Solution or Immediate cancellation against the manipulation done by both SBFC and ICICI.
- Regulatory Breakdown in India’s Banking System
In a major expose by the Sprouts News Investigation Team (SIT), a serious case of alleged loan fraud, identity theft, and regulatory failure has surfaced, implicating SBFC Finance and ICICI Bank. The case involves a fraudulent co-lending mortgage loan approved using forged documents while the primary complainant, Parkar (son), was a NRI residing abroad in Qatar. Approved in May/June 2022, the loan bypassed essential due diligence and raises critical questions about India’s financial governance mechanisms.
According to the complaint, the loan was sanctioned without proper KYC verification, with forged signatures and false information used to create a fake co-applicant profile. Shockingly, none of the sanctioned funds were transferred to Parkar or his wife, but aggressive recovery efforts have since been launched against his grieving family.
Forged Signatures, Identity Theft & KYC Violations
The loan file lists Mr. Parkar (son) as a co-applicant, even though he was overseas during the period. His signatures were forged, and there was no physical or biometric KYC verification done by either SBFC Finance or ICICI Bank. Parkar’s wife—a homemaker with no source of income—was also added as a co-applicant, with conflicting addresses and contact details in Aadhaar and loan records.
Worse still, the address used for loan documentation was not matching the verified addresses from their Aadhaar cards (Ratnagiri/Mira Road), suggesting a willful violation of loan processing protocols.
Disbursement Irregularities & Questionable Applicant Profile
The primary applicant, an entity named “Green Bags,” has no verified PAN, bank statement, income proofs, or office address proof in the loan KYC documents records. The second applicant, Mr. Parkar’s elderly father, was 65 years old at the time of sanction—a red flag, given most financial institutions’ strict limits on lending to senior citizens without income.
There was no credit disbursed to either Mr. Parkar or his wife.
Harassment of Family After Father’s Death
After the death of Mr. Parkar’s father in December 2023, agents from SBFC began harassing the family’s Santacruz residence, where only women resided including his elderly mother. They made repeated visits, issued verbal threats, and demanded EMI payments without furnishing official loan documents.
Maneesh, the former COO of SBFC, reportedly told the family to “surrender the property” if they were unable to pay, but refused to provide anything in writing. This behaviour, as per the Sprouts SIT investigation, borders on criminal intimidation under IPC Sections 503 and 506.
Insurance Scam and Dual Recovery Tactics
Another explosive revelation by the Sprouts News Investigation Team (SIT) involves insurance fraud. SBFC had concealed the existence of a loan-linked insurance policy covering Mr. Parkar’s father. When the family eventually found out, SBFC allegedly instructed the insurance company to cancel the policy, allowing them to pursue dual recovery through EMIs while denying the insurance claim.
Even more concerning is the issuance of a loan-linked insurance policy in Mr. Parkar (son)’s name without his knowledge or consent, despite his absence from India—a likely violation of IRDAI guidelines and privacy norms.
A complaint with registered with IRDAI at their Bima Bharosa (IGMS) Portal but the insurance regulator didn’t take any action against the insurance company.
RBI Inaction: 191 Days and Counting
Despite a formal complaint (No. N202425013015626) lodged with the Reserve Bank of India (RBI) on November 25, 2024, there has been no action taken after 191 days. A follow-up on January 21, 2025, received only a generic response: “The complaint is under process.”
An RTI filed on March 22, 2025 (RBIND/R/E/25/01901) returned a similar answer on April 21, 2025 with no investigation details or expected timelines, reflecting a glaring regulatory lapse by India’s top banking watchdog. Meanwhile, ICICI Bank, the co-lending partner, has disowned responsibility by pushing the matter entirely onto SBFC Finance, despite their contractual and regulatory obligations.
A legal notice was initially served in December 2024, to which SBFC did not respond. A second legal notice was subsequently issued on June 26, 2025. Parkar is currently awaiting their reply. If no response is received, Parkar will proceed with filing a case in court.
Also Read: Congress‑linked Shivji Prabhunarayan Singh & Mishra Builders Housing Scam.
Parkar’s Demands: Legal Action & Solution or Immediate cancellation against the manipulation done by both SBFC and ICICI.
Parkar (son) is now demanding:
1.Solution or Immediate cancellation of the fraudulent loan and deletion of its record from all credit bureaus.
2.Criminal proceedings against SBFC and ICICI officials involved in forgery, misrepresentation, and harassment.
3.An explanation and formal accountability from the RBI for delays in addressing a serious consumer protection complaint.
Legal experts believe that this case could lead to stringent scrutiny of co-lending arrangements and third-party financial agents, especially those sourcing loans on behalf of major banks like ICICI.
Regulatory Breakdown in India’s Banking System
This disturbing case uncovers the dark side of India’s growing co-lending and fintech ecosystem. The Sprouts News Investigation Team (SIT) has found clear indicators of forgery, systemic negligence, and intentional malpractice by financial entities entrusted with public trust.
If the RBI, ICICI Bank, and SBFC Finance fail to respond swiftly, this could escalate into a broader crisis of confidence in India’s digital lending architecture—further endangering vulnerable families.
