HYDERABAD: The Central Crime Station (CCS) of Hyderabad police has registered a case against five former employees of Unity Small Finance Bank for allegedly cheating the bank of nearly Rs 70 crore by falsifying records.
The case was registered on a complaint by Ajay Kumar Punna against Basam Nikhilesh Reddy, former Regional Credit Manager (Secured Lending); Kiran Lingam, former Area Business Manager (Sales-Secured Lending); Shaik Arshad Mohammod, former Area Business Manager; Ajay Newatia, former Senior Regional Head (Business Banking Group); and E Sai Shravan Kumar, former Relationship Manager (Secured Lending).
According to the complaint, the accused, who were employed with the bank between 2023 and 2025, were entrusted with responsibilities such as loan sourcing, appraisal, underwriting, valuation coordination, disbursal and monitoring of loan accounts.
An internal investigation in early 2025 reportedly revealed serious irregularities in the secured lending portfolio, including high delinquency levels, inflated collateral valuations, artificial EMI funding and suspicious transactions involving customers and Direct Sourcing Agents.
Police said the accused allegedly conspired to misuse their official positions for personal gain by demanding illegal gratification for loan approvals, sanctioning loans with inflated property valuations, diverting DSA payouts and misusing supervisor login credentials to approve unauthorised loans. They also allegedly arranged illegal EMI funding through local financiers to prevent loan accounts from being classified as non-performing assets. Funds were reportedly routed through relatives and third parties to conceal the proceeds.
Based on the complaint, CCS police registered a case under Sections 316(5), 318(4), 336(3), 340(2) read with 61(2) of the Bharatiya Nyaya Sanhita (BNS). Further investigation is under way.