CBI arrests mastermind of FD scam in Hyderabad

CBI today arrested the alleged mastermind in a case of fraudulent withdrawal of fixed deposit from the State Bank of Hyderabad, Malkajgiri.
Damodar Mani, whose residence was searched by CBI last month, leading to the alleged recovery of over Rs 1 crore, had been on the run from the time of registration of the case, agency sources said.
CBI has registered a case of alleged fraudulent withdrawal of fixed deposits against KV Ramana Rao, a former employee of State Bank of Hyderabad, and 11 others following an order from the high court at Hyderabad, they said.
The sources said it is alleged that the official liquidator of the high court had transferred Rs 9.86 crore to the bank for issuing fixed deposits in the names of various companies in liquidation.

It is alleged that the branch manager sent the FD receipts in favour of a private company through Rao, they said.
CBI has alleged that one of the FDRs, worth Rs 8.45 crore, issued in favour of the private company was prematurely closed and fabricated, agency sources said.