A serious case of alleged financial fraud, involving a staggering sum of over one hundred crore rupees, has come to light in the coastal city of Mangaluru. The manager of a prominent public sector bank has formally accused a group of fifteen individuals of orchestrating a complex scheme that resulted in massive losses to the institution.
The Official Complaint and Key Allegations
Naveen Kumar Shetty, who serves as the senior manager at the Canara Bank's Car Street branch in Mangaluru, lodged a detailed complaint with the Mangaluru North police station. The core allegation is that the accused persons colluded to secure loans and credit facilities through deceptive means, ultimately causing a calculated loss of Rs 104.7 crore (Rs 104,70,00,000) to the bank.
The complaint, filed under relevant sections of the Indian Penal Code for cheating and criminal conspiracy, outlines a pattern of alleged misconduct. It is claimed that the accused individuals submitted fabricated documents, provided false information, and misrepresented facts to obtain loans. The bank's internal review reportedly uncovered significant discrepancies between the submitted collateral and the actual assets, as well as irregularities in the stated purpose of the loans.
Details of the Accused and Modus Operandi
The police complaint names fifteen specific individuals, holding them collectively responsible for the alleged fraud. While the identities are known to the investigating authorities, the complaint suggests a coordinated effort rather than isolated incidents.
The purported modus operandi involved creating a web of transactions and documentation that appeared legitimate on the surface. The accused are alleged to have used shell companies, inflated valuation reports, and circular transactions to deceive bank officials. The manager's complaint asserts that the sanctions were processed based on this misleading information, leading to the disbursement of funds that were not recovered, thereby crystallizing the huge loss for Canara Bank.
Shetty, in his capacity as the branch manager, brought these findings to the police after the bank's own scrutiny revealed the scale of the potential fraud. The complaint was formally registered, and the Mangaluru North police have initiated an investigation based on the evidence and statements provided.
Ongoing Investigation and Potential Repercussions
The Mangaluru police are now tasked with unraveling the intricate details of this high-value case. Investigators will likely examine bank records, transaction trails, property documents, and the financial history of the accused. The role of any possible insider assistance or lapses in due diligence within the bank may also come under the scanner as the probe deepens.
The implications of this case are significant. For Canara Bank, it represents a substantial financial hit and a reputational challenge. For the banking sector at large, it underscores the persistent risks associated with loan fraud and the critical need for robust verification systems. If proven, the charges could lead to severe legal consequences for the accused, including imprisonment and asset seizure.
This incident in Mangaluru adds to a concerning national narrative of large-scale banking frauds, highlighting the ongoing battle financial institutions face against sophisticated economic crimes. The outcome of the police investigation will be closely watched for its findings on how such a significant alleged fraud was perpetrated and what measures can be taken to prevent similar occurrences in the future.
