The Hanumanthanagar police registered an FIR against Sri Vasista Credit Souharda Sahakari Limited in Bengaluru for allegedly cheating investors.
Based on a complaint filed by Arun B.N., the police booked Venakata Narayana K.N., Krishna Prasad and other directors for cheating, forgery, misappropriation and criminal breach of trust.
The police have issued a notice to the accused for questioning.
Arun, in his complaint, said that he had made fixed deposit of ₹99 lakh on behalf of his father Nagaraj B.T., 78.
The bank was giving interest till November 2020 before stopping abruptly. When contacted, the bank cited the COVID-19 pandemic and asked to him to wait for a few days.
But when there was no response till June 2021, Arun approached the bank. Despite repeated attempts, there was no response, and later the bank stopped withdrawal of deposits too, he alleged.
Many other investors have approached the jurisdictional DCP.
The bank officials reportedly tried to reason that they have made investments and given loans to many customers but could not collect the profit from the investments or loan repayments due to the COVID-19 pandemic.
The police have sought the details of the investments.
