A CBI Special Court has sentenced five persons, including a first division assistant of Mandya Urban Development Authority (MUDA), to seven years rigorous imprisonment and imposed a total fine of ₹5.02 crore for misappropriating five cheques of MUDA amounting to ₹1 crore each.
The CBI had registered a case after the issue was referred to it by the State government. The probe found that K. Anand, Nagalingaswamy, and Chandrashekhar --- all businessmen, had entered into a criminal conspiracy with H. K. Nagaraja, FDA, MUDA, and misappropriated cheques. K. B. Harshan, an employee of K. Anand, has also been convicted.
“Chandrashekhar opened a current account in the name of his non-existent M/s Akash Enterprises at Indian Bank, Mandya in 2012. Thereafter, in February, 2013, K. Anand and H. S. Nagalingaswamy with the assistance of H. K. Nagaraja, working in MUDA, fraudulently obtained five cheques of ₹1 crore each issued by then Commissioner, MUDA from its SB account, Allahabad Bank, towards investment in fixed deposits in Indian Bank, Mandya. The accused wrote the account number of M/s Akash Enterprises in the payee column of these cheques and got the entire proceeds of these cheques fraudulently credited to the current account of M/s Akash Enterprises and misappropriated the amount. Thereafter, fake fixed deposit receipts were submitted to MUDA through H. K. Nagaraja which were kept for record purposes,” a CBI said in a press release on Friday.
