Mumbai: A former branch manager of Bank of Baroda, Ballard Pier branch, and two directors of a company trading in metals, Keshariya Metal Pvt. Ltd, were convicted by a special CBI court on Friday for defrauding the bank of Rs 75 lakh prior to 2008.
Special CBI judge SU Wadgaonkar found the two directors of the firm guilty of criminal conspiracy, cheating and forgery. One of them, Lal chand Jain, was sentenced to two years simple imprisonment and a fine of Rs 50,000 was imposed on him. Another director, Badami Jain, was sentenced to one year jail and slapped with a fine of Rs 40,000. Their firm itself was fined Rs 20,000.
Shankara Bhat, who was the branch manager of the bank’s Ballard Pier branch, was also found guilty of criminal conspiracy, cheating and under sections of the Prevention of Corruption Act, but was acquitted of charges of forgery and criminal breach of trust. He was sentenced to one year jail and fined Rs 40,000. The bank had placed him under suspension after the registration of the case. A computer shop owner, who also faced trial for assisting in preparing forged documents to help the firm in seeking loans, was acquitted for want of evidence, CBI public prosecutor Jitendra Sharma said.
All sentences were then suspended by the court till the convicts approach the High Court for an appeal and they have been granted bail.
As per the CBI complaint, the firm and its directors submitted forged and fabricated documents to the bank to avail loan from it, while Bhat processed and sanctioned the loan amount for personal gain. A deputy general manager of the bank had approached the CBI after departmental investigation had brought out irregularities in granting of the loan. In 2014, the firm had returned the amount to the bank, but the case continued.
