KOZHIKODE: The crime branch (CB) will further investigate the multi-crore fraud that has come to light at the Railway Station Link Road branch of the Punjab National Bank (PNB), here. A preliminary probe by Town Police found the former branch manager, M P Rijin, to have swindled the money from various accounts, including those of the Kozhikode Corporation.
City commissioner A Akbar handed over the case to CB, which will institute a special team to probe the matter. A police investigation is ongoing on three other complaints lodged by the corporation.The corporation alone lost `15.24 crore from seven accounts. Of this, `10.81 crore was lost from two accounts linked to the Kudumbashree CDS, under the civic body. The corporation has 15 accounts with PNB.
Mayor Beena Philip said three police cases have been registered in connection with the episode and the bank has been asked to return the amount within three days. “Bank authorities have promised to return the funds soon,” she said.
Beena added that the corporation has not defaulted on any payments. “We have been initiating monthly auditing of bank accounts. But, we were cheated by the bank with cooked up bank statements. Hence, we failed to identify the fraud until one of our cheques bounced due to insufficient funds. Soon after the issue was noticed we lodged complaints with bank authorities and the police,” the mayor said.
According to police, Rijin had transferred crores of rupees from various accounts to the account of his wife and father by misusing his login ID and password. “Later, the amount was transferred to his own account. Apart from the corporation’s accounts, many other persons may have lost their money. However, only a detailed probe can expose the exact gravity of the crime, a police officer said.
The officer added that it is suspected that Rijin spent the amount on online gaming and to buy shares.
Meanwhile, Rijin, who is absconding, filed a bail petition before the District & Sessions Court, here, on Friday. The court will consider his plea on Saturday.