Full Breakdown
CBI arrests MIL executive and SMPP CEO in Rs 500-crore defence-contract bribery case
By Drooid · · How we work
The arrests and cash seizure
On October 13 the Central Bureau of Investigation (CBI) took into custody Anil Kumar B R, executive director (operations) of state-run Munitions India Limited (MIL), his brother B Harshavardhan B R, and Ashish Kansal, chief executive officer and director-promoter of private defence manufacturer SMPP Limited. The arrests are linked to an alleged bribe paid to secure a INR500 crore ammunition supply contract awarded to SMPP for a one-year period.
During coordinated raids, investigators recovered INR1.73 crore in cash from Kumar’s Pune residence and an additional INR50 lakh from premises in Mysuru, Bengaluru and Delhi, bringing the total cash seizure to approximately INR2.23 crore. Some reports cite a slightly lower figure of INR1.67 crore at the Pune site; the overall amount seized is consistently reported as around INR2.23 crore.
How the investigation began
The probe originated from a tip that a large hawala cash delivery had been made to Kumar’s home in Pune. The delivery, intercepted by CBI officers, contained INR1.7 crore. Tracing the money through a chain of intermediaries led investigators to Kansal, whose company has been active in defence manufacturing for more than three decades.
Legal framework and charges
The FIR was registered on October 12.
Charges are framed under Section 61(2) of the Bharatiya Nyaya Sanhita (2023) and Sections 7, 8, 9 and 12 of the Prevention of Corruption Act (1988, amended 2018), covering criminal conspiracy, bribery involving a public servant, and the concealment of illicit proceeds. The FIR also states that Kumar routed portions of the proceeds through his wife, Chetnashri, and his brother Harshavardhan.
Data & statistics
| Item | Figure |
|---|---|
| Contract value | INR500 crore |
| Cash seized (total) | ~INR2.23 crore |
| Cash seized at Pune | INR1.73 crore (some sources INR1.67 crore) |
| Additional cash seized elsewhere | INR50 lakh |
| Arrests | 3 (Kumar, Kansal, Harshavardhan) |
| Date of FIR registration | October 12 |
| Date of arrests | October 13 |
| Scheduled remand end date | October 19 (scheduled) |
Official statements & responses
The ministry has suspended Kumar pending investigation and is considering suspending or banning SMPP from future government defence contracts.
Conflicting reports & gaps
- Cash amount at Pune: ThePrint and Hindustan Times report INR1.73 crore, while IndiaTimes cites INR1.67 crore. Both agree the combined seizure totals roughly INR2.23 crore.
- SMPP’s response: No official comment from SMPP has been made public, leaving the company’s position on the allegations unclear.
Verbatim quotes
- “MIL’s contracts are sensitive and important for the country's security. We will look into all the defence contracts handled by Kumar at MIL,” — an office
What’s next
The special CBI court has remanded the three accused in police custody until October 19. The agency has indicated it will examine all recent contracts awarded by MIL while Kumar was in charge, and will continue probing the role of other government employees and an “angadia” (traditional courier) named as a co-accused. Further developments will depend on the outcome of these contract reviews and any additional evidence uncovered during ongoing interrogations.