In a case involving fraud and deceit, the Enforcement Directorate (ED) has attached assets worth Rs 30.70 crore that belonged to Bijoy AK, the Commission Agent of Karuvannur Service Co-Operative Bank Limited.
20 immovable properties, including land and buildings, in Kerala, two automobiles (Innova and Audi), money seized from his home (Rs 3.40 lakhs and foreign currencies with Rs 2.08 lakh), and a total of Rs 5.48 lakh in as many as 57 bank accounts held by Bijoy and his companies make up the attached assets.
According to the ED, a systematic scheme conceived and carried out by the bank’s secretary and committee members since 2010 resulted in Bijoy being improperly approved for and disbursed a loan in the amount of Rs. 26.60 crore in cash without any security.
Based on FIRs filed by the Kerala Police under section 420 of the IPC, 1860, ED opened a money laundering inquiry.
The Karuvannur Service Co-Operative Bank Ltd. fraud has been the subject of more than 16 FIRs filed by the Kerala Police (Crime Branch) in the Thrissur region.
The money laundering inquiry has so far shown that the bank approved many fictitious loans on the same property without the awareness of the general public. Large deposits were discovered in the bank books, and the loan amounts were paid out in cash. The Registrar of Co-Operative Societies in Thiruvananthapuram was also investigating the Karuvannur Service Co-Operative Bank. The Registrar discovered diversion of more than Rs. 100 crore in their audit after a FIR was filed in July 2021.
The federal agency had already searched 6 locations on August 10, 2022, including a branch of the Cooperative Bank in Kerala’s Thrissur area. The subject is currently the subject of more inquiry.