Ex-bank officials granted bail

Two builders sentenced to jail

VISAKHAPATNAM: The Central Bureau of Investigation (CBI) arrested a former Branch Manager and a former Assistant Manager of Vijaya Bank in Vijayawada, and three others on a charge of cheating the bank.

The CBI had taken up the case on the basis of a complaint from the Chief Vigilance Officer of Vijaya Bank, Bangalore, that the then Branch Manager of Benz Circle, Benjamin Rajanikanth, and the then Assistant Manager, Y. Ramachandra Rao, had conspired with the borrowers and sanctioned housing loans to the tune of Rs.50 lakh on the strength of fake and forged documents, according to a statement issued by CBI SP G. Nageswara Rao on Friday.

On completion of the investigation it was revealed that the two accused officers had sanctioned the loans to seven borrowers on the basis of inflated reports submitted by the builders T. Krishna Mohan and G. Srinivasa Rao, partners of M/s Divya Constructions, inflated valuation reports of the bank’s Panel Valuer T. Chandrasekhara Rao and forged income/salary certificates from the borrowers and thus cheated the bank.

Both the bank officers were terminated from service. All the accused were arrested and a charge sheet was filed against them before the court of the Special Judge for CBI Cases, Visakhapatnam.

While the bank officials were granted bail, the two builders were sentenced to jail.


Three held on chargeof cheating bank July 6, 2014