The CBI today registered a case of fraud against five persons including three senior former bank employees for causing a loss of Rs 38 crore to Union Bank of India.
The case was registered on the basis of a complaint from the bank on the allegations of defrauding it during 2007 to 2012.
The accused have been identified as Y P Gupta, then General Manager, Pune, S G S Pawar, then Deputy General Manager, Nagpur and S B Vishwesra, former Assistant General Manager, Gokulpeth Branch, Nagpur, all working in Union Bank of India, CBI officials said today.
Besides, the case of criminal breach of trust and cheating has been registered against Y S S Raju and his wife-- Y Suvarchala--Directors of a Nagpur-based private company-- Leela Ventures India Pvt Ltd, they claimed.
"It was further alleged that the cash credit limit and terms loan were sanctioned by the bank officers to private company and the said company diverted the funds to its sister concern.
"The company also did not submit bills of suppliers to the bank and mortgaged the property which was already acquired by the government. The collateral security was also not adequate and the said company & its directors did not repay the funds to the bank. An alleged loss to the tune of Rs 38 crores (approx) was caused to bank," a press release issued by the CBI said.
Searches were conducted at the premises of accused at Pune, Mysore and Nagpur which led to recovery of certain documents, it said.
