DGM ‘fleeces’ bank of Rs 212 cr, booked

The Central Bureau of Investigation(CBI) on Tuesday registered a case against the then Deputy General Manager (DGM) of the Central Bank of India for entering into a criminal conspiracy and cheating the bank by taking Rs 212.30 crore. The case was registered on a complaint filed by the bank.  

CBI sources said the then DGM and branch head of the Central Bank of India, CFB, Kolkata, Rakesh Jaiswal, had entered into a criminal conspiracy with the three directors of Kolkata-based Jain Infraprojects Ltd and diverted bank funds illegally for purpose other than for which it had been sanctioned. 

“It is alleged that they availed credit facilities from the Central Bank of India and diverted funds for the purpose other than for which the same was sanctioned and thereby, cheated and defrauded the Central Bank of India to the tune of Rs 212.30 crore,” CBI official said.

“The CBI on Tuesday searched five places in Kolkata and one place in Allahabad at the residence and office premises of all the three directors of Jain Infraprojects Ltd. 

The raids led to the recovery of several documents including copies of Letter of Credit (LCS), bank guarantees (BGs) and certain seals of four shell companies,’ CBI statement said.