Daijiworld Media Network - Mangaluru

Mangaluru, Sep 18: City police have busted two major bank fraud cases in which fake documents were used to secure loans amounting to Rs 2.50 crore. Police commissioner Sudhir Kumar Reddy confirmed that three accused have been arrested in connection with the cases.

In the first instance, the accused managed to secure a loan of Rs 1.20 crore under the MSME scheme from a nationalised bank by submitting forged documents in the name of M/s Electro World Enterprises. The arrested are identified as Munir Kadaman Abu Bakar (53), a resident of an apartment in Pumpwell, and Hussain P (52) from Nandigudda.

In the second case, the accused used the name of M/s MH Enterprises to obtain a loan of Rs 1.30 crore from the same bank. The money, instead of being utilised for the stated business purpose, was diverted into various bank accounts for personal use. Police have arrested Mohammad Mustafa (27) of Morgans Gate, Jeppu, in this connection.

Police said Munir Kadaman is involved in both cases. Investigations revealed that the fraud was executed with the collusion of certain bank officials, enabling the accused to divert the sanctioned funds.

Following a complaint filed by the bank’s chief manager on September 16, the cases were registered at Mangaluru East police station. The investigation has now been handed over to the CCB Mangaluru unit.