In a major bank fraud case, Gugloth Jairam Naik, a service manager at SBI’s Ramnagar branch, has been arrested for misappropriating Rs2.2 crore by approving gold loans against imitation gold ornaments. Another bank employee, Ruthupavan Cheerla, who served as cash-in-charge, is also under investigation.
The fraud came to light after branch manager D Sunil filed a formal complaint on May 15, following an internal audit that revealed multiple discrepancies. According to the complaint, Naik used his official position to sanction fictitious gold loans in the names of family, relatives, and known associates without authentic collateral.
The complaint further stated that Cheerla knowingly bypassed SBI’s standard loan protocols, allowing the fraudulent disbursements to proceed. Despite his responsibility over cash operations, he allegedly ignored established bank procedures and facilitated the scam. The misappropriated funds were then routed to personal bank accounts and finally diverted to a private entity in Yellareddyguda.
In a written confession submitted on May 14, Naik admitted to the fraud, acknowledging that he misused bank resources to the tune of Rs2.2 crore, including interest.
The Hyderabad Central Crime Station (CCS) has registered a case under Section 316(5) (criminal breach of trust by public servant or banker), Section 318(4) (cheating and dishonestly inducing delivery of property), and Section 61(2) (criminal conspiracy) of the Bharatiya Nyaya Sanhita (BNS).
A CCS official confirmed, “The fraud dates back nearly two years and was detected during a recent audit. The main accused, Naik, has been arrested, and the role of other staff, including Cheerla, is under scrutiny.”
Investigations are ongoing to trace the flow of funds and determine the involvement of the 18 other individuals mentioned in the FIR.
