Guntur IDBI bank fraud: ED attaches immovable assets worth Rs 20 cr

The investigation also revealed that the loan amounts sanctioned to the borrowers were used by the accused to purchase several immovable properties in their names and in the names of other persons known to them.

By Newsmeter Network  Published on  2 Jan 2023 1:55 PM GMT
Guntur IDBI bank fraud: ED attaches immovable assets worth Rs 20 cr

Guntur: In the case of fraudulent loans obtained from IDBI Bank, Guntur branch, the Directorate of Enforcement (ED) has provisionally attached immovable assets valued at Rs. 20.31 crores belonging to Mada Subrahmanyam, Mada Srinivasa Rao, Ganduri Mallikharjuna Rao, Eluri Prasada Rao, and their family members and firms/companies.

The investigation was initiated under PMLA 2002, based on four FIRs registered by the Central Bureau of Investigation, Anti-Corruption branch, Visakhapatnam and Hyderabad against the accused persons and others for fraudulently availing Kisan Credit Card (KCC) loans from IDBI Bank for fish farming.

The investigation revealed that four persons—Mada Subrahmanyam, Mada Srinivasa Rao, Ganduri Mallikharjuna Rao, and Eluri Prasada Rao—conspired with Chandra Sekhar Harish Chennappagari, the then manager of IDBI Bank, Guntur branch. They fraudulently availed Kisan Credit Card loans worth Rs. 57.10 crores from IDBI Bank for fish farming in the names of 247 borrowers who were their family members, employees, and persons known to them. They gave their properties as collateral securities and misappropriated the loans sanctioned to the borrowers.

The investigation also revealed that the loan amounts sanctioned to the borrowers were used by the accused to purchase several immovable properties in their names and in the names of other persons known to them.

A total number of 47 immovable properties, having a market value of Rs. 20.31 crores, which were acquired by the accused and the then bank manager, using the proceeds of crime, have been attached under PMLA 2002.

Further investigation is in progress.

Next Story
Share it