Three employees of a finance company were caught by police on Monday for allegedly siphoning off Rs.1.75 crore from the company.

The arrested persons have been identified as A. Srikanth (30) of B.N. Reddy Nagar, M. Venkata Siva Reddy (28) of Amberpet and V. Srikanth of Narapally. Police seized Rs. 16 lakh in cash, documents of a house worth over Rs. 36 lakh from the trio.

The trio had been committing the fraud since November 2012, DCP, Detective Department, G. Pala Raju said. Srikanth was working as a branch manager, while Reddy was a senior office assistant and V. Srikanth was office assistant-cum-marketing executive.

Mr. Raju said the accused created duplicate loan applications using the profiles of existing customers and staff. “They forged their signatures, generated loans in computer systems and misappropriated money to the tune of Rs. 1.75 crore. They later shared the amount among themselves,” he said.

The fraud came to light during audit checks. The management lodged a complaint with the Central Crime Station (CCS) police. During investigation, the police found that the branch manager collected an additional cash of Rs.11.52 lakh from borrowers and misappropriated the same for his personal use, the DCP added.

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