Hyderabad bank officials sentenced for Rs 1.2 crore fraud
Hyderabad: The Special Judge for CBI cases at Hyderabad has convicted three including the former Branch Manager of the Central Bank of India, Bollarum Branch in a bank fraud case and imposed a fine of Rs 95,000. The accused conspired and caused a loss of Rs 1.2 crores to the bank by issuing loans to 70 customers without proper verification.
CBI had registered a case in 2004 against the accused including Sh. K. Raja Rao, former Branch Manager, Central Bank of India, Bollarum Branch (HYD) and two other private persons D. Sanjeeva Reddy and A. Ramana Reddy.
It was alleged that during the year 2002 the accused then Branch Manager conspired with accused Proprietor (since expired) of a private firm to cheat the Central Bank of India. In pursuance of the said criminal conspiracy, the accused sanctioned/availed housing loans to the tune of Rs. 1.29 crore (approx) in the names of 70 borrowers without proper identification, eligibility using false reports and forging the signatures of the borrowers. Thus, they obtained wrongful pecuniary gain and caused corresponding wrongful loss to Central Bank of India.
Former bank Manager, 2 others jailed
After the completion of the investigation, a charge sheet was filed against the accused in 2006. Following the court trial, found the accused guilty and sentenced both accordingly. The Special Judge for CBI cases at Hyderabad has sentenced three including K. Raja Rao, then Branch Manager, Central Bank of India, Bollarum Branch (Hyderabad) to 2 years of Rigorous Imprisonment with fine of Rs 65,000.
Further two other private persons D. Sanjeeva Reddy and K. Ramana Reddy were sentenced to one year Rigorous Imprisonment (RI) with a fine of Rs. 15,000 each in a case related to causing wrongful loss to the Bank.
