FIVE YEARS RIGOROUS IMPRISONMENT TO A BANK MANAGER FOR CAUSING LOSS OF Rs.13.5 LAKH

Press Release
New Delhi , 23.09.2012

            The Special Judge for CBI Cases, Chennai has convicted Shri T.Shanmugam, the then Branch Manager, Central Bank of India, Anna Nagar Branch, Chennai and sentenced him to undergo five years Rigorous Imprisonment. A total fine of Rs.30.15 lakh was also imposed on him, out of which Rs.30 Lakh is to be paid as compensation to Central Bank of India, Anna Nagar Branch, Chennai.

 

            The investigation revealed that during the year 2004, Shri. T. Shanmugam, formerly Branch Manager, Central Bank of India , Anna Nagar Branch, Chennai and Shri. M.Saleem, Proprietor of M/s. Salamath Leathers, Chennai entered into criminal conspiracy to cheat Central Bank of India. In pursuance of the said conspiracy, Shri.M.Saleem opened current account with Central Bank of India , Anna Nagar Branch, Chennai and applied for Cash Credit limit of Rs. 13.50 lakh along with fake & forged documents such as Valuation Report, Legal opinion, EC, and fabricated sale deeds as collateral security for the above said loan. In furtherance of conspiracy, Shri. T. Shanmugam, the then Branch Manager accepted the forged documents without verifying the genuineness of the documents. He had further used those documents as genuine for processing, and recommended the said loan for sanction. Based on the recommendation of Shri. T. Shanmugam, the Proprietor got the loan sanctioned and availed it. A loss to the tune of Rs.13.5 lakh was caused to Central Bank of India, Anna Nagar Branch, Chennai.

 

            After completion of investigation, a charge sheet was filed against the accused persons by CBI before the Special Judge for CBI Cases, Chennai U/s 120-B r/w 420, 471 r/w 468 IPC and Sec. 13(2) r/w 13(1) (d) of PC Act 1988.

 

            During trial, Shri.M. Saleem expired and charges against him were abated.

 

            The Trial Court found the then Bank Manager guilty and convicted him.

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