Even as a Crime Branch probe is on into the alleged loan fraud at the Mylapra Service Cooperative Bank in Pathanamthitta, an internal investigation has suggested that the accused embezzled huge amounts through loans to relatives. The alleged misappropriation occurred in the 2005-2021 period.
A report of the investigation held under Rule 65 of the Kerala Cooperative Societies Act has suggested that former bank secretary Joshua Mathew alone siphoned off ₹18.83 crore by passing 28 loans. These include seven loans granted to his two daughters and six loans to his sister-in-law. Mr. Mathew had been associated with various factions of the Kerala Congress before joining the Congress, which expelled him following the scam.
Former bank president Jerry Oommen Easo and his family too have taken loans worth over ₹2 crore rupees from the bank. Similarly, ₹6.34 crore has been granted as loans to one John George of Vazhamuttom and his associates. Mr. Easo was associated with various Kerala Congress factions before joining the CPI(M), which expelled him once the scam came to light.
