Communist Party of India (CPI) members in the former director board of the Karuvannur Service Cooperative Bank have alleged that the Communist Party of India (Marxist) [CPI(M)] made them scapegoats in the loan scam.
CPI(M) District Committee member C.K. Chandran was controlling the functions of the bank. Loans of big amounts were sanctioned without the knowledge of the director board and later added in the minutes, alleged CPI members Sugathan and Lalithan, who were part of the former director board.
We were made scapegoats to protect prominent leaders. We have not signed for sanctioning big loans. Loans above ₹5 lakh were sanctioned secretly. The president used to sign them and later add to the minutes. Bank secretary Sunil Kumar and manager Biju Karim knew everything and were cheating us. The bank president ignored our complaints about the cheating, they said.
The CPI representatives in the board have received revenue recovery notice for an amount of ₹8.5 cr. They welcomed CBI investigation into the scam.
The allegations of the CPI members have put the CPI(M) in a spot.
