Bank manager booked for Rs 55 cr fraud

Mangaluru: Suratkal Police arrested five persons including the manager of Indian Overseas Bank (IOB) Kulai branch in connection with alleged misuse of fixed deposits of Rs 55 crores in the name of of Karnataka Rural Infrastructure Development Ltd (KRIDL).

The accused have been identified as IOB Manager, Serin Madhusudan, Sijo, Sunil, Jerry and Salaam. All the five have been remanded to judicial custody.

Three officials from KRIDL were suspended and probe was on regarding the misuse of funds. Further investigation proved that a bank official was also involved in this fraud. Following this, a complaint was lodged against Serin, he went missing after the complaint.

The fraud was highlighted when the officials of the Koramangala branch of Vijaya Bank grew suspicious after Rs 50 lakh was  transferred to the dormant account of Shah Export.

On October 30, a complaint was filed in Suratkal police station about illegal transfer of KRIDL funds through forgery and named manager, Serin Madhusudan, and some officials of the regional office.

It has been learnt that the KRIDL had deposited Rs 55 crore in the IOB as it had offered interest at the rate of 5.75 per annum which was the highest.