According to the CBI, Khan connived with HM Swamy, the then branch manager of the bank and managed to avail huge temporary overdrafts in his account by introducing six persons in the pretext of opening SB accounts in 2003.
This apart, he had also availed a loan of Rs 563 lakh under the Synd Jai Kishan Scheme in the name of himself and others.
Later, he had used the same amount to repay the temporary overdraft which he had availed earlier. A CBI release said he had also received Rs 105 lakh against two cheques without debiting his SB account. Similarly, payment of Rs 158 lakh was issued against four cheques from the account of four persons introduced by him in the same manner.
A criminal case regarding the matter was registered against Khan and HM Swamy on April 15, 2009.
Demand
The Zilla Nagarikara Vedike and the Kadamba Sene has urged the State Government to order a probe into the allegations of irregularities in the Mandya Institute of Medical Sciences(MIMS).
In a release, the forum members said that MCI has also expressed serious doubts on the efficiency of the Institute. The Government should order an inquiry, they urged.