At its peak, the Thrissur-based Karuvannur Cooperative Bank held public deposits amounting to nearly Rs. 290 crore. However, in 2021, it was hit by a scam involving fake loans. Multiple bogus loans were sanctioned against same property without the knowledge of the members of the society. FIRs were registered and the matter is being investigated but the distress of the people who deposited their hard earned money in the bank finds no solution.
Here is the latest news about Karuvannur Cooperative Bank.
As per reports, the Enforcement Directorate (ED) has submitted a report to both the Election Commission (EC) and the Income Tax department, urging further scrutiny into the operations of Thrissur-based Karuvannur Cooperative Bank. The probe report allegedly implicates certain political leaders in undisclosed accounts and the acquisition of assets from questionable sources, along with suspicions of funds being unlawfully diverted for party purposes.
The ED’s investigation points towards the involvement of a former Kerala cabinet minister with purported irregularities surrounding the Karuvannur Cooperative Bank. Allegations include discrepancies in loan approvals by the Karuvannur Services Cooperative Bank, with multiple loans reportedly sanctioned on the same property without the knowledge of the members of the society.
The report forwarded to both the Income Tax department and the Election Commission highlights around 80 bank accounts with approximately 25 crores in deposits, predominantly in cash. Additionally, a list of undisclosed properties has been shared to cross-check whether these were revealed in the poll-affidavits by concerned persons. Earlier the Kerala Police’s crime branch had initiated investigations, registering over 16 FIRs in Thrissur pertaining to alleged fraud in Karuvannur Services Cooperative Bank. The ED had earlier said, “The loan amounts were disbursed in cash and also huge cash deposits were found in books of the bank,”.