Coop bank fraud: Uncertainty looms large over return of embezzled funds to villagers
Uncertainty looms large over customers of the Nohradhar branch of Himachal Pradesh State Co-operative Bank Ltd as its management has failed to return funds embezzled from their fixed deposit receipts (FDRs) and bank accounts.
As per the initial estimates, a sum of Rs 4.02 crore had been embezzled from the branch by the then bank manager, Jyoti Prakash, who had opened fake Kisan Credit Cards to embezzle money, besides defrauding account holders of their savings. An FIR was lodged by district manager Priyadarshan Pandey on August 11. According to sources in the bank, it had emerged that, in fact, Rs 10 crore had been embezzled.
When confronted by a delegation led by panchayat pradhan Rajinder Singh, bank manager Ummed Singh Kanwar told them that a report had been sent to the head office a few days ago and it was further being verified by a chartered accountant. He told the delegation that they had received no intimation from the head office about when their money would be returned. However, it would be returned soon, he said. He further added that the process was taking time since an audit was underway in the bank to examine all accounts.
Villagers were helpless as no proper assurance had been given by the bank management, rued Inderpal Thakur, a customer. He had availed a loan of Rs 46 lakh. Thakur was in the process of getting back his FDR pledged for availing the loan from the bank. Despite closing the loan account, entries were found in Thakur’s account, from where the money had been transferred to the account of a bank official. He failed to get his FDR as his loan account could not be closed. Many like him were left with scant amount in their accounts.
The bank’s managing director and chairman, who had visited Nohradhar after the fraud came to light in August, had assured villagers that their money would be returned by September 15. This promise, however, proved to be hollow and there was uncertainty as to when they would get their money back.
Customers are facing financial problems as there is no money left in their accounts.
Several villagers had deposited their entire proceeds received as compensation for the acquisition of their arable land for the construction of the multi-purpose Renuka Dam project. Many such displaced families are constructing houses and are in dire need of money. They were unable to encash their FDRs after the scam surfaced. Though the bank management had recommended a CBI probe into the matter, no such step had been taken by the state government, customers said.
