Former Araku MP arrested for Rs 25 crore PNB loan fraud

HYDERABAD: CBI officials arrested former Araku MP Kothapalli Geeta in the city and shifted her to Bengaluru in connection with Punjab National Bank (PNB) cheating case. The court had earlier convicted Geeta’s husband and managing director of Visweswara Infrastructure P. Ramakoteswara Rao but acquitted Geeta.

A fresh case was registered by the CBI based on a complaint lodged by PNB officials in connection with the Rs 25 crore fraud.

Sources said that the CBI had filed a chargesheet framing charges against the couple for duping the bank to the tune of Rs 42 crore. The CBI also registered cases against a former assistant general manager and manager of the bank’s Mid Corporate Branch in the loan fraud.

During the trial, the court convicted Rao, slapped two years jail and directed him to pay Rs 25 crore to the bank.