Manager of Ahmedabad Peoples Cooperative Bank arrested

Multi-crore scam: Manager of bank arrested
The Times of India, 19 May 2009, 0403 hrs IST, TNN

AHMEDABAD: Manager of Ahmedabad Peoples Cooperative Bank has been arrested by CID officials on Monday in connection with a multi-crore scam. The bank, said CID officials, had flouted RBI norms in sanctioning some hefty multi-crore loans to a select few people. When these loans were not repaid on time, an administrator had to be appointed to run the bank. Soon afterwards, bank officials told depositors that the bank is short on cash and cannot make payments.

The scam was highlighted by a bank employee who filed a complaint at CID (crime). During investigation, bank manager Pritang Desai was called for questioning. After recording his statement the police arrested him as they found him guilty. This is the first arrest in this case. Names of other senior office bearers of the bank are also mentioned in the list of accused.