HYDERABAD: The CBI Court in Hyderabad on Friday convicted K Murali, the former chief manager of State Bank of Hyderabad (SBH) and three others in a criminal conspiracy case with regard to a loan sanction. The Court sentenced them to two years of rigorous imprisonment and imposed a fine of `10,000 on each of them under various Sections of the Prevention of Corruption Act and the Indian Penal Code.
The prime accused Murali conspired with the second accused -- against whom the case is abated due to his death. In pursuance of the said conspiracy, Murali accepted fake property documents as genuine collateral securities and sanctioned `200 lakh cash credit facility and `379 lakhs as agricultural term loan during the year 2005.
The account became a non performing asset (NPA) and the bank suffered wrongful loss to the tune of Rs 605 lakhs. After completion of investigation, the CBI filed charge sheet before the trial court on June 28, 2013, against the accused persons.