Odisha Sun Times Bureau
Dhenkanal, Jun 1:

The Odisha Crime Branch (CB) today arrested 13 persons in connection with loan fraud in Dhenkanal Urban Co-operative Bank after detaining and interrogating them this morning.

bank fraud

The arrested were identified as bank’s former president Sukant Mishra, secretary Niranjan Kar, two members of loan sub-committee and 9 loanees, who had taken loans but didn’t repay till date.

There were allegations of financial irregularities in the bank to the tune of Rs 11.82 crore between 1993 and 2001, sources said adding that the bank was closed in 2008.

“During investigation, it came to fore that some authorities of the bank had hatched a criminal conspiracy and granted loans to several persons through fake documents. In some cases, the loans were granted without security. The authorities had also granted loans to their family members and relatives,” said Special ADG, Crime Branch, BK Sharma.

“We have arrested 13 persons in connection with the case. Involvement of more persons in the fraud is suspected and investigation is on,” he said.

On the other hand, bank’s former president Sukant Mishra refuted the allegations saying that they are false and politically motivated.