KOCHI: The police investigation into an alleged Rs 32 crore NRI home loan fraud involving Indian Bank is likely to be handed over to the crime branch.
The Ernakulam Central police, which registered a case based on a complaint from the bank’s zonal manager, have submitted a preliminary report to the Kochi city police chief recommending a crime branch probe, citing the scale and complexity of the alleged fraud.
Three cases have so far been registered at the Ernakulam Central police station based on complaints from officials of the bank. The cases relate to housing loans allegedly obtained by submitting forged documents, including employment and residency certificates purportedly issued by Indian diplomatic missions abroad.
The alleged fraud involved NRI housing loans availed in several stages. According to the police, the accused allegedly submitted forged employment certificates and resident permits in the name of the Riyadh Embassy, as well as forged attestation documents purportedly issued by Indian diplomatic missions in Riyadh, Muscat and Doha.
Midhun Michel Manuel, managing director of a Kochi-based financial services firm, and director Mable Mary are alleged to have played a key role in the fraud. They are accused of collaborating with two persons while submitting each loan application and presenting forged certificates in their names. In all, 12 loans were allegedly obtained using 25 people, with Midhun and Mable among the accused. The FIR registered at Ernakulam Central lists 28 accused in the case. The loans ranged from `50 lakh to `3.30 crore, according to the police.
The alleged fraud came to light after the borrowers defaulted on repayments, resulting in substantial loss to the bank. During the subsequent investigation, police found that several documents submitted for obtaining the loans were forged, following which bank officials approached the police.
The police had initially named the company representatives and four others as accused in the case. Further investigation allegedly revealed the involvement of more people, leading to their inclusion as accused.
The FIR registered at Ernakulam Central on August 7 pertains to alleged offences under Sections 406, 420, 463, 464, 465, 467, 471 and 34 of the IPC, with the alleged offences occurring between May 13, 2022 and December 21, 2024.
The proposed crime branch probe is expected to examine the wider financial trail, the role of the accused in arranging the documents and whether similar loan frauds were carried out through other banks.
