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  Metros   Mumbai  22 Apr 2017  Two booked for causing bank loss of Rs 58 crore

Two booked for causing bank loss of Rs 58 crore

THE ASIAN AGE.
Published : Apr 22, 2017, 6:39 am IST
Updated : Apr 22, 2017, 6:39 am IST

A case was registered under sections 120B of IPC, along with sections 420 of IPC and 13(2) of the Prevention of Corruption Act, 1988.

Central Bureau of Investigation (Photo: PTI/File)
 Central Bureau of Investigation (Photo: PTI/File)

Mumbai: The Central Bureau of Investigation (CBI) has registered a case against a retired assistant general manager and another former official of the Central Bank of India, Pune, for allegedly causing a loss of Rs 58.04 crore to the bank by granting loan to a Pune-based technical education society.

A case was registered under sections 120B of IPC, along with sections 420 of IPC and 13(2) of the Prevention of Corruption Act, 1988. It was alleged that the then AGM and a former senior manager of Central Bank of India, Pune, entered into criminal conspiracy with the president and chief managing trustee of a Pune-based technical education society during 2011-12. Thereafter, the chief managing trustee of the educational institute applied for various financial facilities to the AGM of Central Bank of India, mid-corporate branch, M.G. Road, Pune. The facilities included taking a fresh term loan of `60 crore and taking over existing term loans of Punjab and Sind Bank and Canara Bank.

CBI sources said the chief managing trustee of the institute submitted a false project report stating that the loan amount would be required for various construction works and supply of materials at different campuses of their society, including construction of a dental college and hospital building at Narhe, Pune. Officials said that the AGM did not follow laid-down procedures.

Tags: ipc, central bureau of investigation, agm, bank loss
Location: India, Maharashtra, Mumbai (Bombay)