The Criminal Investigation Department (CID) verified documents related to the alleged misuse of the farm loan waiver scheme at the Mandya City Cooperative Bank here on Wednesday.
The bank authorities had allegedly swindled Rs. 62 lakh by tampering documents, while implementing the scheme in 2008–09.
A complaint was registered in the second week of July 2013.
Nagesh Kumar, Deputy Superintendent of Police (Financial Intelligence Unit, CID), and other officials visited the bank and inspected bundles of documents.
According to sources in the CID, the Comptroller and Auditor General had reportedly found irregularities worth Rs. 62,40,139 at the bank.
M.C. Lakshman, Assistant Registrar of Cooperative Societies (Mandya subdivision), had lodged a complaint against eight directors of the bank.
The accused persons had allegedly fabricated documents of 292 people, who were not farmers, and waived off their ‘salary loans’ and ‘surety loans’, sources said.
“The investigation is under progress,” Mr. Kumar told The Hindu .
