A former senior bank official and a private company chief in Chennai have been sentenced to seven years of rigorous imprisonment in a bank fraud case involving the fraudulent sanction and disbursement of housing loans. This fraudulent activity caused a loss of over Rs 5.29 crore to the Central Bank of India. The court also imposed fines on the individuals and the company involved in the case.
The court convicted and sentenced Deepak V Menon, the former Senior Manager of the Central Bank of India’s Triplicane branch, to seven years of rigorous imprisonment along with a fine of Rs 65,000. Additionally, B Sivaganesan, Chief Managing Director of Sree Sasthru Associates Kadanthetti Pvt Ltd, was sentenced to seven years of rigorous imprisonment and fined Rs 1.17 lakh. The company itself was fined Rs 26,000 in connection with the case.
The Central Bureau of Investigation (CBI) registered the case on April 29, 2009, based on a complaint from the Central Bank of India. The complaint alleged that 28 housing loans were fraudulently sanctioned and disbursed between 2006 and 2007 using forged and fabricated documents. The investigation revealed that these fraudulent transactions led to outstanding dues exceeding Rs 5.29 crore by February 2010.
Following the probe, the CBI filed a charge sheet on June 30, 2010, against four accused, including Menon, Sivaganesan, the company, and another individual, S Vaidyanathan. The trial concluded with the court finding the remaining accused guilty and handing down the sentences. In a separate 2024 case, the CBI arrested M Naga Kumar, also known as Tamil Selvan, in Chennai for his involvement in a Rs 4.66 crore Indian Bank home loan fraud case.
