PIL alleges fraud at CKP Bank

A public interest litigation filed in the Bombay High Court has alleged a Rs 500 crore fraud at the Mumbai-based CKP Cooperative Bank through illegal disbursement of loans.

It may come up for hearing before Justices V M Kanade and P D Kode, said petitioner Shreeprakash Neel.

As per the petition, the registrar of cooperative socities, on receiving complaints, appointed an administrator to run the bank in 2012.

An audit which followed revealed that board of directors, general manager and other senior officials had illegally sanctioned loans of crores of rupees which turned into non-performing assets.

Neel says his complaints to the anti-corruption bureau and the Reserve Bank of India elicited no response.