Huge investments by Krushi Bank chief detected

By Our Staff Reporter

HYDERABAD, SEPT. 10. Investigations into the Krushi Bank scam by the CID teams have revealed that bank's Chairman, Venkateswara Rao, has invested ``very huge amounts'' in Kanakavarsha securities located at Abids in the city.

One of the bank's two computer administrators, K.V.V.N. Satish, who was in the custody of CID, revealed that the Krushi Bank management sanctioned loans on fictitious documents, the police said.

The inquiries brought to the fore the fact that special loan sanctioning powers were given to the bank's Chairman, the General Manager and the Deputy General Manager in violation of all norms. The CID officials were successful in clinching substantial evidence in these matters.

It was found that the two computer administrators - Satish and Ambati Ramakrishna - in the custody of CID, were not on the rolls of the bank. However, they were the only persons who had access to the secret codes of the computers. The CID took the help of three Chartered Accountants and a retired banker to unravel and analyse the total irregularities committed by the bank management.

A Cielo car was seized at the instance of one of the bank's Directors, Dinachakravarthi, from the Imlibun bus station in the city. So, far 14 bank accounts with Rs. 1.77 crores have been frozen. The ten special police teams have further intensified their efforts to apprehend the other accused in the Krushi Bank scam. The search is going on not only in Andhra Pradesh but also in neighbouring States.

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Section  : Southern States
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