GUNTUR: Guntur police uncovered a massive fake loan scam at the Guntur District Co-operative Central Bank (GDCC) and arrested 11 individuals on Friday. Guntur District Superintendent of Police (SP) Sathish Kumar revealed that over 54 fraudulent loans worth Rs 5 crore were approved in the scheme.
The scam came to light when U Lingeswar Rao, a resident of Veeraiahpalem village in Prakasam district, discovered a Rs 6 lakh loan taken in his name at Chinakondrupadu Primary Agriculture Cooperative Society. He filed a complaint with Prathipadu police on October 18, 2024. Upon investigation, authorities identified a network of criminals from Palnadu district who had expanded their operations to other regions.
The police found that over 30 individuals, including GDCC Bank staff, had created fake identities of farmers to obtain loans. Among those arrested were S Nagaraju, J Prabhakar, T Yogaiah, M Seetharamanjaneyulu, S Venkateswarulu, T Venkata Sandeep Kumar, N Srinivasa Rao, M Nageswar Rao, B Lakshmi Narayana, A Tirupathi Reddy, and G Levi, a retired MRO. The accused forged passbooks, Aadhaar cards, and bank documents to secure the loans.
Investigations revealed that two former Mandal Revenue Officers (MROs), three Village Revenue Officers (VROs), and an ex-bank manager were also implicated in the scam. The authorities have launched an intensive probe into the matter, with further arrests expected.