Newindpress
Bangalore, Aug 30: Ulsoor Gate police have arrested a man for swindling eight nationalised banks by producing fake sale deeds for fictitious sites and pocketing a loan of Rs 1 crore over the last few years. Police have registered a case of forgery and cheating.
K Govind Reddy (66), a native of Andhra Pradesh, came to the city in 1987 and bought a plot in the Manjunath House Building Co-operative Society, Banashankari. He built a house and sold the property after a while, police say.
8 Banks Taken for a Ride: After the sale of his property Reddy learnt the ropes, rather the trend, in this city where spurious sale deeds are quite in vogue. The DCP (Central) B N S Reddy told this website’s newspaper that Govind Reddy earned an envious expertise in making bogus sale deeds and helped eight individuals acquire loan from eight different nationalised banks in the past 10 years.
``He has created fake documents for plot number 124, in Banashankari, which is supposedly part of the Manjunath House-building Co-operative Society. No such plot exists. This land documents were prepared for eight different names.
In his misadventure he was helped by A S Shivaswamy (40) from Chikmagalur and one Nataraj from Manjunath Co-operative Bank Ltd.
Govind Reddy received a commission from his `customers' in his lucrative operation. Reddy's first victim was State Bank of Mysore in Cauvery Bhavan, from where he managed a loan of Rs 21 lakh. The fraud came to light only when the current bank manager lodged a complaint with the Ulsoor Gate police station one month ago.
It's Network: On the basis of the complaint Reddy was picked up. During interrogation, the accused revealed that he had forged signatures and seals of several banks including Bank of India, ICICI, Vijaya Bank, HSBC, City Finance. Another case of cheating has been registered in Kamakshipalya police station recently. And more cases are coming up.
The suspect told the police that all those who duped the banks with his helps are aware of what they were doing.``Bank officials and even some legal teams are also involved in the scam. That's why little verifications were carried out before sanctioning loans,'' police official said. A property loan is never given on the basis of documents only. Physical verification is invariably carried out.
All this point to a well-knit network of bank authorities, lawyers, documentation office, police believe. ``There are several people who are hand in glove with the accused,'' said Reddy. At present the police are investigating eight loaners and those availed of the loans. More cases are not ruled out.