The city police are preparing a dossier to arrest the Managing Director of MM Foundations and Constructions Mallikanti Malyadri, for allegedly defrauding a number of banks in the city.
Sources in the police said he might be arrested on Thursday, as some incriminating documents have fallen into the hands of the police and a number of banks have lodged complaints at various police stations in the city.
It is learnt that under the East Zone Police Sub-division itself he has acquired loans to the tune of Rs. 6 crore from banks such as Bank of India and Bank of Baroda, by producing fraudulent certificates.
Sources said Malyadri defrauded a number of banks across the city and the amount could exceed Rs. 20 crore.
“We are collecting documents from all sources and preparing a water-tight dossier,” said a senior officer on Wednesday.
