Fraudster promises to arrange loan for ₹200 crore, takes commission and goes missing
The Entrustment Document Fraud Wing of Central Crime Branch arrested a fraudster, a school dropout, along with two other associates, for cheating a correspondent of an engineering college in Madurai to the tune of ₹5.46 crore after receiving it as commission for arranging a bank loan of ₹200 crore.
The accused was identified as B.M.Reddy alias Muthukrishnan alias Lion Muthuvel, 44 of Villivakkam. He had been running an office Sri Mahalakshmi traders in Panaiyur with two other associates. They were arrested by a special team led by Assistant Commissioner S.John Victor following a complaint from Mohammed Jaleel, 77, who runs an engineering college in Madurai.
A senior police officer said that the complainant was looking for loans to expand his college. He was taken to Muthukrishnan by a few brokers last year for facilitating bank loans. Claiming that he was a major financier, the accused promised Mohammed Jaleel that he would arrange a bank loan of ₹200 crore on payment of two percent commission to him. He also collected ₹5. 46 crore through online transfer in 10 days from the complainant. Then he showed a fake demand draft as if a ₹30 crore loan was sanctioned by a bank first and the cash would be delivered soon at his doorstep. He again told the complainant to arrange 10 gold coins to be given to bank staff and collected blank cheques from him. Later the accused switched off the mobile phone and absconded without arranging the loans, the officer said. The accused also cheated an education group from Kerala in a similar manner.
The senior officer said the accused had adopted an unique modus operandi — he collected blank cheques from the victims. When the victims demanded their money back, he would threaten them that he would file a case against him stating the cheque issued by them was dishonoured.
Police also arrested his associates — M.Sankar, 34, of Villivakkam, and Isakial Rajan, 37, of Vellore district.
