VIJAYAWADA: The Central Bureau of Investigation (CBI) on Wednesday registered a case against a senior special assistant and a deputy manager (operations) of SBI on Wednesday in connection with a loan scam at the Buchireddypalem branch of the bank in Nellore district. They were booked under sections 120-B r/w 420, 409 of IPC and 13(2) r/w 13(1)(d) of the PC Act - 1988.However, CBI officials maintained secrecy in revealing the names of the bank officials.According to CBI officials, the accused were involved in a criminal conspiracy during the period in which curbs existed on currency withdrawals due to ring demonetisation.They alleged that the bank officials had availed themselves of four gold loans - all worth Rs 9.7 lakh - on benami names. They had processed and sanctioned three more gold loans to other persons to a tune of Rs 2.7 lakh and made the loan disbursals in new currency exceeding the limits sets by the RBI due to demonetisation, they said.Subsequently, two benami gold loans were closed on November 21 and 25 by depositing demonetised currency notes of Rs 1,000 and Rs 500. "The accused abused their position and misappropriated funds to a tune of Rs 12.4 lakh. Searches were conducted at the residences of the accused which led to the recovery of several incriminating documents. Investigation is in progress," the CBI officials said.

Stay updated with all the Latest Vijayawada headlines here. For more exclusive & live news updates from all around India, stay connected with NYOOOZ.