Araku ex-MP Kothapalli Geetha granted bail by HC in Rs. 42.79 cr bank fraud

It also directed the couple to submit a personal bond of Rs. 25,000 each.

By Newsmeter Network  Published on  16 Sep 2022 12:40 PM GMT
Araku ex-MP Kothapalli Geetha granted bail by HC in Rs. 42.79 cr bank fraud

Hyderabad: The Telangana High Court on Friday granted bail to former Araku MP Kothapalli Geetha and her husband in the Rs. 42.79 crore bank fraud. The Central Bureau of Investigation (CBI), Hyderabad, had arrested Kothapalli Geetha for defrauding the Punjab National Bank. The MP and her husband Ramakoteswara Rao were sentenced to five years imprisonment and a fine of Rs. 1 lakh was levied against them.

Kothapalli Geetha had approached the High Court challenging the CBI court verdict.

The High Court on Friday issued an interim order staying the judgment of the CBI court. It also directed the couple to submit a personal bond of Rs. 25,000 each. Further hearing of the matter has been adjourned to 16 December.

2015 loan fraud

In 2015, CBI registered a case against Geetha and her husband for a Rs. 52 crore loan fraud. The loan was taken in the name of the company Vishveswara Infrastructure Private Limited (VIPL) from Punjab National Bank. Based on the complaint lodged by the bank officials from Bangalore, the CBI conducted an inquiry into the case. The charge sheet stated that Geetha and Rao had devised a criminal conspiracy to cheat Punjab National Bank.

The couple allegedly misrepresented facts to the bank. The loan was sanctioned in collusion with bank officials. The loan was sanctioned in the name of the firm and diverted. Cases were booked under IPC 120, 420, 458, 421, 13(2), and read with 1(c).

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