CBI ARRESTS SENIOR MANAGER AND A DIRECTOR OF A PRIVATE FIRM FOR CAUSING LOSS OF Rs.7.05 CRORES (APPROX) TO THE BANK

Press Release
New Delhi , 16-09-2011

The Central Bureau of Investigation has arrested the then Senior Manager, Allahabad Bank, Lake Town Branch, Kolkata and a Director of Kolkata based paper mills in connection with a Bank fraud case involving wrongful loss to the tune of Rs.705.27 lakh (approx) to the Bank.

It was alleged that the then Senior Manager in connivance with the Kolkata based Director of private firm during the period 2008-2010 had sanctioned and disbursed credit facilities to the private firm and its group accounts on the basis of false and forged title Deeds and Valuation Reports. The public servant had abused his official position without safeguarding the financial interest of the Bank and in gross violation of the lending norms of the Bank.

It is further alleged that the then Senior Manager has obtained quid-pro-quo payments to the tune of Rs.4.20 lakh in his name, as well as in the name of his wife and daughter from the accounts of said private firm of Kolkata and two other of its group account.

The arrested accused persons were produced before the Court of Special Judge for CBI cases, Barasat and remanded to CBI custody upto 21.09.2011.

Further investigation is continuing.

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