Former AGM of United Bank Of India among five people convicted by CBI Special Court in bank loan fraud case

Pramesh S Jain & Dr.Thomas (Special Correspondent)

Former Assistant General Manager of United Bank of India among the five people convicted by CBI special court in a bank loan fraud case .

The accused Dhananjaya Reddy,Managing Director of Nexxoft infotel ltd,his two Directors,Nirmala and Dinesh Kavoor and the then AGM of cantonment branch, Rajesh Kumar Madhav have been colluded and conspired to cheat the bank to avail Rs.18 Crore business loan and diverted the fund to invest in real estate .

The accused forged the documents to avail the loan and purchased the 1.3 acres of land in KR Puram which they converted into a layout and sold it to many people in 2009.

The accused had deposited the tittle deed of the layout as collateral surety with the bank and later defaulted the loan and become NPA in 2013 .

When the bank tried to auction the property to recover the loan amount the site owners challened the decision which led to the exposure of the fraud.

Based on the complaint,the CBI economic offences wing,Chennai took over the investigations charging the accused under,conspiracy,cheating,forgery and also under Prevention of Corruption Act and filed a charge-sheet before the court.

On Monday CBI judge convicted the accused and sentenced Dhanajaya Reddy and realtor Sathyanarayana to undergo four years of imprisonment and a the other two Directors,Nirmala and Dinesh and former AGM Madhav to undergo one year imprisonment along with the total fine of Rs.23 crore to be recovered from all the five accused and the company,Senior Public prosecutor,BR Shivananda Perla, told media persons.