Chennai, May 23 (IANS) A special CBI court in Chennai has convicted a private software company, its Managing Director and CEO, along with two other private individuals, in connection with a bank fraud case involving fraudulent loans amounting to Rs 1.24 crore, officials said on Saturday.
The verdict was delivered by the CBI Court in Chennai on Friday after completion of the trial in the case investigated by the Central Bureau of Investigation (CBI).
According to officials, the convicted company is Palpap Ichinichi Software International Ltd., while the convicted individuals include the company’s Managing Director and CEO, Senthil Kumar, along with private persons P.A. Sasi Kumar and P. Thanjai Chezian.
The court sentenced Senthil Kumar, Sasi Kumar and Thanjai Chezian to five years of rigorous imprisonment each. In addition to the jail term, the three convicts were collectively fined Rs 11.7 lakh.
The court also imposed a separate fine of Rs 1.2 lakh on the company, M/s Palpap Ichinichi Software International Ltd.
The case was originally registered by the CBI on November 14, 2008, following a complaint filed by the State Bank of India in Chennai.
According to the allegations, the accused persons had entered into a criminal conspiracy in connection with the sanction and disbursal of personal loans under the bank’s Express Credit Scheme.
Investigators alleged that loans were fraudulently obtained in the names of fictitious employees purportedly associated with Palpap Ichinichi Software International Ltd., Chennai, thereby causing wrongful loss to the bank.
The fraudulent activities allegedly resulted in cheating the bank to the tune of approximately Rs 1.24 crore.
Following completion of the investigation, the CBI filed a charge sheet on December 11, 2009, against the accused company, its MD and CEO P. Senthil Kumar, and private individuals G. Vaidyanathan, P.A. Sasi Kumar and P. Thanjai Chezian.
Officials said that the accused G. Vaidyanathan passed away during the course of the trial, following which the charges against him were abated by the court.
After examining the evidence and hearing arguments in the matter, the court convicted the remaining accused and pronounced the sentence accordingly.
–IANS
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