Tirupur: With the Supreme Court dismissing the anticipatory bail petitions of Corporation Bank assistant general manager Anand Naik and deputy general manager Padmanaba Reddy, they are likely to be arrested soon in connection with a Rs 20crore fraud.Police suspect their role in sanctioning loans against forged letters of credit (LC), in collusion with their colleagues at the bank’s Tirupur branch, a senior police officer told TOI. “The apex court has directed the AGM and DGM to surrender within two weeks and co-operate with the investigation. We are expecting them to surrender or will arrest them,” said the officer.Police identified the other six accused in the case as A Senthil Kumar of Velusamy Compound at Alankadu, his wife R Priya, Senthil’s friend Rajesh Kanna of Tirupur, Amit Thapar of Delhi and the bank’s forex senior managers Shankar, and Somayajilu. Police have arrested everyone, except Rajesh and Amit.“Senthil had registered a knitwear export unit, but hardly exported any goods. He managed to get Rs 10.2crore as loan from the SME branch of Corporation Bank near the Old Bus Stand, without pledging any collateral security,” the officer said.Senthil and Rajesh Kanna had convinced knitwear exporters Nataraj, Ramasamy and Haroon Rashid that they would help them get loans from the bank. Using the names and credits of the exporters, the duo made fake documents including LC, the guarantee letter given by banks of foreign buyers to assure that payment will be made once goods reached the buyers. “Corporation Bank fraudulently sanctioned the credit given against LC worth Rs 8.34crore to Haroon, But Senthil gave him only Rs 5 crore and took the rest. The bank sanctioned Nataraj and Ramasamy Rs 6.12crore and Rs 3.92crore respectively, but they were given only lesser than 50% of the amounts. Senthil used the money to pay back outstanding loans worth Rs 10.25crore. He also received about Rs 2crore in export incentives, called duty drawback,” the officer said.“Some officials with the customs department helped Senthil get clearance for the fake documents. His wife helped him to execute the plan. Amit Thapar helped him to prepare the documents.”

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