BRANCH MANAGER AND TWO OTHERS SENTENCED FOR CAUSING LOSS OF RS.60.27 LAKH TO BANK

Press Release
New Delhi , 19-09-2011

The Special Judge for CBI cases, Tis Hazari Court, Delhi has convicted Sh. K.K. Mishra, the then Manager, State Bank of Saurashtra, Lodhi Road, New Delhi; Sh. Vijay B. Borar, Director M/s Swastik Consultants Pvt. Ltd., Old Rajinder Nagar, New Delhi and Sh. R.P.Mathur, Proprietor of M/s Radhika Leather Fashions, Delhi for causing loss of Rs.60.27 lakh to the Bank. The Court sentenced accused K.K. Mishra to undergo three years rigorous imprisonment with total fine of Rs.1.50 lakh; Sh. Vijay B. Borar to undergo four years rigorous imprisonment with total fine of Rs.2.50 lakh; Sh. R.P. Mathur to undergo six years rigorous imprisonment with total fine of Rs.5 lakh and imposed fine of Rs.50,000/- to M/s Swastik Consultants Pvt. Ltd.

The case was registered U/s 120-B r/w 420 IPC and section 13 (2) r/w 13 (1)(d) of PC Act 1988 on 18.12.1995 against Sh.K.K. Mishra, the then Branch Manager, State Bank of Saurashtra, Lodhi Road, New Delhi and others for having caused wrongful pecuniary loss to the extent of Rs 60,27,840/- to the bank and corresponding wrongful gain to the accused persons. The allegation in brief was that the accused persons entered into criminal conspiracy with each other and in furtherance of the same, Sh.K.K. Mishra Branch Manager of State Bank of Saurashtra abused his official position as public servant and purchased a cheque dated 30.03.1994 of Rs 60, 27,840/- beyond his discretionary powers, issued by accused Vijay B. Borar the then Director of M/s Swastik Consultants Pvt. Ltd.

The investigation revealed that Sh. Vijay B. Borar, the then Director of M/s Swastik Consultants Pvt. Ltd. issued a cheque dated 30.03.1994 of Rs.60,27,840/- and the same was deposited by Sh.RP Mathur proprietor of M/s Radhika Leather Fashions on 31.03.1994 in the account of M/s Kay Bee & Co proprietorship concern of Sh.Brij Mohan Bhatnagar. This cheque was purchased and discounted by the Branch Manager Sh.K.K.Mishra on 31.03.1994 beyond his discretionary powers.The proceeds were credited in the account of M/s Kay Bee & Co and the same were transferred in the group accounts of Sh. R.P. Mathur on 31.03.1994 itself. The cheque so purchased, returned unpaid by drawee bank, State Bank of India, Darya Ganj, New Delhi due to insufficient funds in the account of M/s Swastik Consultants Pvt. Ltd. inspite of being presented repeatedly in clearing. It resulted in wrongful loss of Rs.60,27,840/- to the bank and corresponding wrongful gain to the accused persons.

After investigation, CBI filed a chargesheet on 16.07.1997 against Sh. K.K. Mishra, the then Branch Manager; Sh.Brij Mohan Bhatnagar; Ms. Amita Mathur; Sh.Vijay B. Borar; Sh.R.P. Mathur and a firm M/s Swastik Consultants Pvt. Ltd., Delhi

The Trial Court found the three accused persons and a firm guilty for the offence and convicted them. The Court acquitted Ms. Amita Mathur. Sh. Brij Mohan Bhatnagar was absconding accused during investigation and Trial. He was declared Proclaimed Offender.

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