Balasore: Two brothers were produced in a Balasore court on Sunday after they were arrested by the Crime Branch’s Economic Offences Wing (EOW) for an alleged loan fraud amounting to Rs 1.43 crore.
The accused, Sashikanta Sahoo and Srikanta Sahoo, were arrested from Bhadrak on Saturday. Sashikanta is an executive with the Balasore branch of Sundaram Finance Ltd and Srikanta is the proprietor of Hanumanjew Furnitures.
They were arrested on the basis of a complaint lodged by V Kishore Kumar, the territory manager of Sundaram Finance Ltd.
According to the complainant, Sashikanta had fraudulently disbursed an amount of Rs 1.43 crore against sanction of 11 loans to nine loanees for purchase of Kartar harvesters by preparing forged documents in 2018-19.
Investigators said the sanctioned amount of four loanees amounting to Rs 45 lakh was disbursed to the account of Hanumanjew Furnitures and the rest amount of seven loanees was disbursed to the account of Utkal Enterprises, falsely showing them as dealers of Kartar Agro Industries Pvt Ltd.
The investigation revealed that Sashikanta used a forged letter to show that Hanumanjew Furnitures and Utkal Enterprises were appointed as dealers by Kartar Agro Industries Pvt. Ltd. He then conspired with the proprietors of these firms, including his brother, and prepared forged documents such as quotations, money receipts, tax invoice and made fictitious transactions showing purchase of harvesters from these firms. However, the harvesters for which the loan was disbursed were never purchased.
Crime Branch said many incriminating documents were seized from the accused and further investigation was on.