SBM manager sentenced to one-year RI in cheating case

SBM manager sentenced to one-year RI in cheating case

The judgment in the case, registered on January 1, 2003, was delivered by CBI Special court judge S Jyothidranath. G Narayana Subramani, a SMH manager in Kozhikode, is the first accused in the case and has also been asked to pay Rs 30,000 fine.

The case relates to Subramani taking over the existing loan of M/s Karm & Co from Nedungadi Bank and sanctioning a Cash Credit Loan of Rs 60 lakh and a cheque purchase limit of Rs 20 lakh. The loan amount was utilised to repay the firm’s outstanding liability with Nedungadi bank, a CBI release said.

Subramani, by abusing his official position, permitted excess drawings from CC accounts and also purchased cheques far more than the sanctioned limit without obtaining prior approval from his Regional office, it said.

The other accused persons M A Kareem, Managing Partner M/S Karm & Co Kozhikode, M P Mahamud, Approved Valuer, and S Rajeev, partner of the firm have been directed to pay a fine amount of Rs 20,000 each. Another accused, T Vijayan, an employee of the firm has been exempted from paying the fine.

The accused were convicted and sentenced under Section 120 B (criminal conspiracy) of IPC read with Sec 13 (1) (D) of the Prevention of Corruption Act and sections 420 (Cheating) and 468 (Forgery).