HYDERABAD: K. Sarath Babu (55), deputy manager of Andhra Bank’s Cheque Processing Centre, was arrested by the police on Tuesday in the sensational case of withdrawing Rs. 5.1 crore by presenting a fabricated cheque.
An amount of Rs. 15 lakh was recovered from him, Hyderabad Detective Department Inspector S. Sharath Kumar, said.
A computer firm owner G.V.V.S. Vara Prasad, in whose fictitious name an account was opened with the ICICI Bank’s Vijayawada branch, was already arrested in the case.
The fabricated cheque was en-cashed by depositing it in Prasad’s account.
Prasad confessed to the investigators that Mr. Sarath Babu knew about the plan of presenting the fabricated cheque and fraudulent withdrawal of the huge sum.
Suspicions about Sarath Babu’s complicity arose as he cleared the fake cheque.
Investigation was on to ascertain if any other person was involved in the fraud. Sources said that a debt-ridden realtor approached the bank manager with the plan to make money by presenting a fabricated cheque. He offered a share in the money to be withdrawn in the fraud.
Efforts were on to nab the businessman.