BERHAMPUR: Police on Tuesday evening arrested the branch manager and a security guard of Utkal Grameen Bank (UGB)'s Hatiotta branch in Ganjam district for their alleged involvement in a scam worth over Rs 50 crore.
The branch manager, Nihar Kant Pradhan, 29, and the security guard, Ajay Panda, 36, were arrested after the bank's regional manager, Ajay Kumar Nayak, filed a complaint against the duo, alleging misappropriation of around Rs 52 lakh from the bank. "Pradhan sanctioned 26 loans to different organisations and joint liability groups (JLG) from August 2021 to March 2022. But instead of disbursing the funds to the loanees, he transferred the money to the security guard's account," said Prabha Sahoo, inspector-in-charge of the Kabisurya Nagar police station.
Panda connived with Pradhan, who joined the Hatiotta branch as manager in June 2021, by allowing him to transfer the money to his own account, the police added.
The scam came to light following an audit of the loan accounts by the bank's regional office. "We arrested the duo from the branch itself soon after the regional manager lodged an FIR," said Sahoo. The police, however, have not ruled out the involvement of any other person in the scam.
"An investigation is on. The fraud amount may increase. The bank's regional office is conducting a search to find out whether any further fraud was committed by the branch manager," the officer added.
