Arjun Singh's name emerges in Rs 20 cr loan misappropriation case

Kolkata: A case has been initiated regarding irregularity in disbursing of loans worth approximately Rs 20 crore by the Bhatpara Naihati Cooperative Bank authority, based on multiple work orders to a few contractors of Bhatpara Municipality.

Notably, BJP leader Arjun Singh, who is holding the post of chairman of the bank, was the chairman of Bhatpara Municipality when the irregularity took place.

According to sources, on Monday a Trinamool Congress leader of Bhatpara identified as Somnath Shyam lodged a complaint at the Bhatpara police station, alleging irregularity while providing loans a few years ago.

It has been alleged that during the 2017-18 financial year, loans were disbursed to multiple contractors who were given work order from the Bhatpara Municipality, amounting to approximately Rs 60 lakh each. The total work for which the orders were given amounts to around Rs 20 crore.

According to Shyam, when Singh was the chairman of Bhatpara Municipality, a tripartite agreement was done and work orders were given. However, though the work was not executed, the money was paid by the bank without any background check or scrutiny.

It has been alleged that the irregularity was planned and Singh is the mastermind of the whole thing. "The irregularity happened during the 2017-18 financial year. Though the money has been withdrawn by showing the work orders, not a single work has started till date. A huge amount of public money was misappropriated when Singh was the chairman of Bhatpara Municipality," said Shyam.

Police sources informed that the case has been initiated on charges of cheating. On Tuesday, the Investigating Officer (IO) went to the bank to submit requisition for some documents, which are essential for the investigation.

"A probe is on to find out who are connected with the alleged cheating," said Ajay Thakur, Joint Commissioner of Police (Jt. CP), North Zone, Barrackpore Police.