Reports on voucher-based malpractice worth Rs 5.42 cr at Karuvannur Service Co-operative Bank Ltd have emerged, adding another dimension to the alleged scam that rocked the state.
According to reports, the members of bank administrative body and employees siphoned off Rs 5,42,36,559 by producing fake bills. Interestingly, these bills are for conducting field visits to avail loans across places that does not even come under banks ambit!
The malpractice happened over a period of six years, prior to the unearthing of the alleged Rs 107 crore fraud at the bank, said reports.
The field visits happened at places on the stretch between Thiruvananthapuram and Wayanad. While the bills submitted include travel expense and allowance.
The loan scam was reported in CPM administrated bank in July 2021. Following that a case was registered against six bank officials and an inquiry ordered.
After several people including local customers raised apprehensions about the bank’s functioning, an audit was conducted recently, in which the charges were reportedly found to be true.
Following the allegations, the 13-member committee of the bank was disbanded.
Discussion about this post