Representational Image. (IANS Photo)
Ex-bank manager from Nagaland in custody
Dimapur, July 25 (MExN): Police have arrested a former branch manager of the Central Bank of India in Dimapur, Nagaland for allegedly masterminding a financial fraud of over three crore involving beneficiaries of government subsidy schemes in Arunachal Pradesh.
The accused, a former Branch Manager of the bank’s Ganga Branch, was arrested from Dimapur on July 15 after police tracked his location, as per India TodayNE.
The case came to light on July 9 when a complainant alleged that accused had cheated him of Rs 2.5 lakh of his own money and Rs 2 lakh in government subsidy sanctioned under the Atmanirbhar Pashupalan Yojana (ANPPY).
Itanagar Police registered a case under relevant provisions of the Bharatiya Nyaya Sanhita (BNS), 2023, and launched an investigation, following which a much larger fraud came to light.
So far, 18 victims have been identified, with the total amount siphoned off estimated at Rs 3.23 crore under the ANPPY and the Deen Dayal Upadhyaya Swavalamban Yojana (DDUSY), police said.
According to the police, the accused forced beneficiaries to deposit amounts far higher than the prescribed margin money, created fixed deposits in their names, and sanctioned loans against those deposits. He then allegedly obtained pre-signed withdrawal slips and other banking documents from the beneficiaries under the pretext of loan processing.
Once government subsidies and loan amounts were credited to the beneficiaries’ accounts, the accused allegedly used the signed withdrawal slips to withdraw the money without the account holders’ knowledge or consent, police said. The withdrawn funds were routed through multiple mule bank accounts before being transferred to two accounts operated by the accused, the investigation found.
Police alleged that the money was subsequently invested in cryptocurrency trading and the stock market, where substantial losses were incurred. More than Rs 50 lakh was also allegedly advanced as private loans on interest, they said.
Investigators have also uncovered two additional alleged frauds -- one involving Rs 1 crore, allegedly misappropriated after being deposited as a fixed deposit, and another cheating case involving Rs 35 lakh. Both cases remain under investigation.
The probe is continuing to identify more victims, trace the complete money trail, recover the proceeds of crime, and ascertain whether any other bank officials or private individuals were involved.
Superintendent of Police Jummar Basar urged beneficiaries of government loan and subsidy schemes to carefully read official guidelines before signing any banking documents or depositing money.
He advised the public to never sign blank withdrawal slips or financial instruments, and appealed to anyone who may have been cheated by the former bank manager to approach the Itanagar Police Station with relevant documents as the investigation progresses.
