Couple booked for cheating banks

The District Crime Branch (DCB) Police have registered a case against a couple for allegedly cheating two banks by pledging documents pertaining to a piece of land owned by them in both the banks and obtaining loan to the tune of more than Rs. 1 crore. The case was registered on the direction of the Madras High Court.

According to the police, the accused K. Arumugam of Thippanaickenpalayam near Ambothi in Annur was a poultry farm owner.

He pledged documents for 11.4 acres at the main branch of State Bank of Travancore, in Coimbatore in June, 2009, and obtained loan of Rs. 1.38 lakh. Later, he and his wife Karunambal made a gift settlement for 7.57 acres from a portion of the above said piece of land – mortgaged in the bank – in the name of Karunambal by forging documents.

Arumugam then pledged documents for 7.57 acres with the Annur branch of Indian Overseas Bank and obtained Rs. 1 crore as loan.

The couple got the loan amount by suppressing the facts that they had already obtained loan for the above said piece of land from another bank.

On coming to know about this, the branch manager of State Bank of Travancore moved the Madras High Court and obtained a direction in her favour. The couple was booked under sections 120(B) (punishment for criminal conspiracy) and 420 (cheating and dishonestly inducing the delivery of property) of the Indian Penal Code. Investigations were underway.

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