HYDERABAD: The CID arrested one of the accused in the Krushi Co-Operative Urban Bank scam case and produced him before the court.
The accused, Kagithala Sreedhar, a director of the bank at Ranigunj, is a native of Andhra Pradesh and has been avoiding court proceedings. An NBW was pending against him at MSJ-Special Court, Nampally, officials said.
In 2001, one M.V. Kumar, along with other depositors of the bank, lodged a complaint with the Mahankali police stating that the bank’s chairman and managing director Kosaraju Venkateshwara Rao, directors and staff had embezzled Rs 36.37 crore by collecting deposits from innocent customers and closed its shutters on August 11, 2001 without making any payments even after maturity. In pursuance of the criminal conspiracy, the deposits were diverted to fictitious loan accounts. The case was eventually transferred to the CID.
