Loan scam: Karuvannur bank administrator removed from post

The Registrar of Cooperatives on Friday removed administrator of the Karuvannur Service Cooperative Bank M.C. Ajith from the post. A three-member administrative panel, comprising senior assistant registrar T.K. Raveendran and senior inspectors A.M. Vinod and K.K. Pramod, has been given charge of the bank.

The Registrar of Cooperatives had disbanded the board of directors of the bank, led by K.K. Divakaran as president, following a loan scam amounting to more than ₹100 crore. Later, Mr. Ajith, Assistant Registrar, Mukundapuram, was appointed administrator of the bank.

Appointment opposed

However, objections were raised to Mr. Ajith’s appointment as he had been auditing the bank accounts for the past four years. It was alleged that he had failed to detect the fraud and take action. The BJP and the Congress had alleged that Mr. Ajith, who knew about the fraud, had kept mum.

They also questioned the delay in recording the arrest of four persons allegedly in the custody of the Crime Branch. The Crime Branch had reportedly taken into custody from Ayyanthole the four accused in the case six days ago. However, the agency has denied it. The BJP and the Congress alleged that there was an effort to sabotage the investigation.

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Printable version | Sep 22, 2021 2:47:34 AM |

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