Corporation Bank: Corporation Bank fraud: CBI registers 16 cases

NEW DELHI: The Central Bureau of Investigation has registered 16 cases on complaints received from Corporation Bank related to alleged fraud involving three branches at Vasant Vihar, Vasant Kunj and Aali in Delhi. Among the accused are then chief managers, senior managers and branch managers of the bank and some private persons.

Searches were conducted on Friday at 13 places, including Delhi, Ghaziabad and Ahmedabad, at the premises of accused leading to recovery of documents.

This is in addition to three more cases of bank fraud in the Vasant Kunj branch of Corporation Bank. Searches were also conducted at 10 places on June 1.

It was alleged that a group of loanees floated various firms for the purpose of cheating the bank fraudulently by taking loans on the basis of fake or forged documents.

The accused bank officials allegedly processed and finalised loan applications without verifying documents and without completing pre-sanction formalities in haste and ultimately the loans became nonperforming assets. The NPAs are said to have caused a loss of `145.48 crore to the bank

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