15 handed RI in Syndicate bank loan fraud case

New Delhi, June 19 A Special CBI court in Madurai, Tamil Nadu, has sentenced a former manager of Syndicate Bank to seven years of rigorous imprisonment in connection with a bank loan fraud case.

The court has also sentenced fourteen others involved in the case to three years of rigorous imprisonment.

The court, while imposing the jail term on N. Gunaseelan, the then Manager (Scale-II) of Syndicate Bank, also ordered him to pay a fine of Rs 75,000.

The CBI registered the case on October 4, 2010, based on a complaint from Syndicate Bank's Regional Office in Coimbatore.

"It was alleged that private individuals conspired with public servants to defraud Syndicate Bank. The public servant had approved and disbursed housing loans amounting to Rs 155.79 lakh to ineligible borrowers. The loan accounts subsequently became non-performing assets (NPA) worth Rs 162.72 lakh," said the CBI.

After conducting an investigation, the CBI filed a charge sheet on May 3, 2012, against the accused.