Then Branch Manager of PNB and six others sentenced for causing loss of Rs.2.08 crores

New Delhi, August 22,2014 :The Special Judge  for CBI Cases, Coimbatore has convicted   Janardhanan, then Branch Manager & V. Palanichetty, Cashier, both of Punjab National Bank, Naal Road Branch, Dindigal and five private persons i.e Govindasamy; Lakshmipathy Raju; Balasubramanim; K. Subramanian & Guruvayoorappan in a bank fraud case and sentenced them to undergo one year Rigorous Imprisonment with fine of Rs.3000 each.

CBI had registered the case against   Janardhanan, then Branch Manager & V. Palanichetty, then Cashier, both of  Punjab National Bank ,Naal Road Branch, Dindigal; then Managing Director of a private Paper Mills, Pollachi;Govindasamy, then Managing Director of  M/s Jagdeesh  Textiles, Udumalpet; Shri Lakshmipathy Raju, then Propreitor, M/s Annai Electricals, Udumalpet;  Guruvayoorappan, then Manager of M/s Jagdeeswaran Textiles and five other Associates/Employees (private persons) of said firms on the allegations that during the period 1999, the accused persons entered into criminal conspiracy to cheat Punjab National Bank, Naal Road Branch, Dindigul.

In pursuance of the conspiracy, the then Managing Director/Proprietor with the help of their employees & associates had  submitted  applications  on behalf of their firms  in the names of non-existing employees towards purchase of house hold items  to Punjab National Bank, Dindigul  for availing consumer loan  by submitting  false & forged salary slips, proforma invoices. Shri Janardhanan, the then Branch Manager with the connivance of  Palanichetty, then Cashier, both of Punjab National Bank had sanctioned the loans without verifying the genuineness of the applicants. 834 fraudulent loans were sanctioned for Rs.25,000 each causing a loss totaling to Rs. 2.08 crores (approx.) to Punjab National Bank.

After completion of investigation, charge sheet was filed before Special Judge Court, Coimbatore under sections 120- B r/w 420, 467, 468 r/w 471 IPC & 13(2) r/w 13(1)(d) of PC Act, 1988. During trial, one private person expired  and charges against him were abated. On completion of trial, seven accused persons including then Branch Manager & Cashier and five private person were convicted. Three private persons were acquitted from the case.

(SK Vyas/Jalandhar)