A special CBI court convicted two 65-year-old men on Thursday, 17 years after they were arrested for committing fraud to the tune of Rs 1.9 crore by taking loans in the name of 6 NRIs who had fixed deposits in Syndicate bank.
The court, presided over by Justice A D Karanjkar, convicted the two under six charges, sentencing them to seven years' rigorous imprisonment along with a fine of Rs 20,000 per charge.
In 1996, the CBI had arrested B V Pai, the branch manager of Syndicate bank and S J Maradia for committing a fraud of approximately Rs 1.90 crore. A CBI official, on the condition of anonymity, told dna, "The two accused entered into a conspiracy and secured a loan of Rs 1.90 crore against the fixed deposits of five to six NRIs. The two accused forged the investors' signatures and sought the loan amount. The fraud came to light when the six investors came to know of the loans while renewing their fixed deposits. They then approached the CBI and filed a complaint. The involvement of Pai and Maradia was discovered during investigations."
After their arrests, the accused had immediately applied for bail, which had been granted by the sessions court.