Punjab Bank fraud: 71 arrested in multi-million scam

LAHORE: Authorities have uncovered a multi-million fraud in the Punjab government’s “Asaan Karobar Scheme”, with officials saying loopholes in the Punjab Bank system were exploited to siphon off millions of rupees.

The National Counter-Cyber Crime Investigation Agency (NCCIA) has registered a case at the request of Punjab Bank and has so far arrested 71 individuals.

Initially, the case was filed against 24 men and women.

Those involved in the fraud and benefiting from it are reportedly from Punjab.

Following the identification of arrested suspects, authorities are continuing efforts to apprehend additional individuals linked to the scam.

The case was filed based on a statement from a field collection officer of Punjab Bank.

The Punjab government has rolled out the Asaan Karobar Scheme, a major financial support programme designed to empower small and medium enterprises (SMEs) and stimulate economic growth, job creation and exports across the province.

The scheme offers interest‑free business loans ranging from modest startup funding to substantial credit lines, along with other incentives to make doing business easier for entrepreneurs.

Under the initiative, businesses can access funding through two main components: Asaan Karobar Finance — for larger loans — and the Asaan Karobar Card for smaller, revolving credit needs.

Loan support and structures

The Asaan Karobar Finance portion provides zero‑interest loans up to Rs30 million for eligible SMEs, with repayment tenures of up to five years.

Loan amounts between Rs1 million and Rs5 million (Tier‑1) require only a personal guarantee, while amounts from Rs6 million to Rs30 million (Tier‑2) are secured loans with standard collateral.

The Asaan Karobar Card component offers interest‑free credit up to Rs1 million aimed primarily at micro and small business owners. This card is intended for working capital, vendor payments, utility bills and other business expenses.

Objectives and broader impact

The scheme aims to boost economic development, encourage entrepreneurship, support business expansion and modernization, and foster job creation and higher exports by strengthening SMEs across sectors.

It also includes incentives and priority processing for youth, women, differently‑abled persons and climate‑friendly businesses.

Launched in January 2025 by Punjab Chief Minister Maryam Nawaz Sharif, the initiative is part of a broader effort to make finance accessible to business owners, particularly those previously excluded from traditional banking credit due to high interest rates or collateral requirements.

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