Bhubaneswar: The Economic Offences Wing has arrested S Kathiresan, the managing director (MD) of a private finance company, from Gnanaoli village under Thuvakudi police limits of Trichinapalli in Tamil Nadu for alleged Rs. 5.62 crore fraud in Odisha capital.
A native of Trichy in Tamil Nadu, Kathiresan is being brought on a transit remand and will be produced before the SDJM court here on August 11.
According to an EOW press release, K N Narasimha, the then Chief Manager of erstwhile Corporation Bank (now Union Bank of India), had lodged a complaint on February 9, 2015, against Kathiresan. The accused in his capacity as Managing Director of Jagannatha Financial Services Ltd had availed a loan amounting to Rs 5 crore for the purpose of lending the same to the SHG/ Joint Liability Group. However, the company failed to pay the instalments and finally, the account turned NPA on November 1, 2011, with an outstanding balance of about Rs. 5.63 crore.
The investigation revealed that the accused had disbursed the loan to non-existent agriculturists, submitted fabricated and false documents to the bank and misappropriated the huge amount for his own use.
Kathiresan, who had been evading arrest since registration of the case, was nabbed on August 8, the release added.