Ex-officials of Khammam DCCB booked for funds misuse
The First Information Report (FIR) was filed based on a complaint lodged with the police by the bank's current Chief Executive Officer (CEO), Atluri Veera Babu on Monday night
Khammam: An FIR was filed at the three town police station here against the former Chairman, CEO and directors of the DCC Bank for misuse of the bank’s funds to the tune of Rs 7.32 crore.
The First Information Report (FIR) was filed based on a complaint lodged with the police by the bank’s current Chief Executive Officer (CEO), Atluri Veera Babu on Monday night.
The bank’s former Chairman, Muvva Vijay Babu, former CEO, V Vasanth Rao and 20 Board of Directors in the bank’s previous managing committee have been named in the FIR in which Vijay Babu is A-1 accused.
It may be noted that the Additional Registrar/Chief Auditor at the office of Commissioner for Cooperation and Registrar of Cooperative Societies, V Sumitra probed into the alleged misuse of funds by the previous Board of Directors, CEO and the Chairman.
The probe was ordered by the State government following complaints by farmers from Penuballi and Sathupalli mandals in the district some time ago. Incidentally Vijay Babu was now serving as the Chairman of Primary Agriculture Cooperative Society of Penuballi.
Speaking to Telangana Today on Tuesday the CEO, Veera Babu informed that he lodged the complaint following the directions given in the enquiry report which was communicated to the bank on March 27 and was approved at a general body meeting the next day.
The CEO said he was authorised by the bank’s incumbent Chairman, K Nagabhushaiah to initiate criminal proceedings against the accused as the enquiry officer, Sumitra in her report suggested to initiate civil and criminal action against those involved in the fund scam.
Civil action would be initiated by the Registrar of Cooperative Societies by issuing a surcharge order under Section 60 of Telangana Cooperative Societies Act to recover the embezzled funds from the accused, he explained.
Meanwhile, the three town Inspector of Police, Ch Sridhar informed that cases under IPC Section 403 (Dishonest misappropriation of property), Section 406 (Criminal breach of trust), Section 409 (Criminal breach of trust by public servant or by banker) and Section 420 (Cheating and dishonestly inducing delivery of property) was booked against the accused.
He said investigation would be taken up based on the contents of the complaint.
Also read:
Funds embezzlement in Khammam DCCB
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