The Second Additional District Court (CBI Cases), Madurai, has sentenced a former Senior Manager of Indian Overseas Bank’s Chinthamani branch in Tiruchi district and three others in a bank fraud case.
The case of the prosecution was that Senior Manager B. Ravichandran, Secretary of Kurinji Social Welfare Society Rajaram, Treasurer Usha, workers C. Kalpana and J. Lavanya entered into a criminal conspiracy to cheat the bank
They conspired and created fictitious Self Help Groups with fictitious persons as members. They opened accounts in the name of the SHGs and availed loans ranging from ₹4.25 lakh to ₹5 lakh causing a wrongful loss of ₹3.38 crore to the bank and a wrongful gain to themselves.
Ravichandran had not verified the existence of the SHGs, the members, genuineness of the signatures of the members, etc.., and granted SHG loans to 73 SHGs sponsored by Kurinji Social Welfare Society through its Secretary K. Rajaram. The CBI (ACB) Chennai registered a case.
Judge S. Shunmugavel sentenced Ravichandran and Rajaram to seven year rigorous imprisonment and imposed a fine of ₹21 lakh and ₹2.63 crore respectively. The court sentenced Kalpana and Lavanya to three years rigorous imprisonment and imposed a fine of ₹11 lakh each. The court also imposed a fine of ₹27 lakh on the welfare society represented by Rajaram. The court acquitted Usha. The fine amount recovered shall be paid to the IOB, Chinthamani branch in Tiruchi district, the court directed.
Published – June 06, 2025 10:39 pm IST