In a major breakthrough, the Crime Investigation Department (CID) has arrested K Sanjay, a 53-year-old Assistant General Manager of the State Bank of India (SBI), in connection with a massive Rs27 crore loan fraud dating back to 2013.
Sanjay, who worked as a relationship manager at SBI’s SME branch in Balanagar between 2009 and 2011, is accused of facilitating a fraudulent loan to Adarsh Communications Pvt Ltd. Investigators revealed that the loan was issued based on forged HMDA documents and misrepresentation of agricultural land as non-agricultural.
The scam involved multiple individuals. The CID had earlier arrested M Anjaneyulu and Manikonda Reeta, the Managing Director and Director of Adarsh Communications, in Bengaluru in May 2024, after they had been on the run since the fraud was uncovered.
Another accused, G Ravindranath, who worked as a customer support officer at the same SME branch, is still absconding.
CID officials stated that Sanjay violated SBI protocols, ignored red flags, and failed to secure the bank’s interests by not verifying the legitimacy of the collateral. He has been booked under multiple sections of the Indian Penal Code (IPC), including cheating, criminal breach of trust, and forgery. He was produced in court and has been sent to judicial remand.
This case underscores ongoing concerns about internal collusion in banking frauds and the need for stringent checks in corporate loan processing.
