{"id":129654,"date":"2025-04-13T08:43:52","date_gmt":"2025-04-13T08:43:52","guid":{"rendered":"https:\/\/alertindianews.in\/?p=129654"},"modified":"2025-04-13T08:43:52","modified_gmt":"2025-04-13T08:43:52","slug":"kotak-mahindra-bank-convicted-for-criminal-breach-of-trust-fined-20-lakh","status":"publish","type":"post","link":"https:\/\/alertindianews.in\/?p=129654","title":{"rendered":"Kotak Mahindra Bank Convicted For Criminal Breach Of Trust, Fined 20 Lakh"},"content":{"rendered":"

A court in Chennai has convicted Kotak Mahindra Bank<\/a> for criminal breach of trust and falsification of accounts and has imposed a fine of Rs 20 lakh for collecting an excess amount of Rs 14.3 lakh from a customer.<\/p>\n

The court had last month held the bank guilty of perjury in the same case and fined Rs 1.5 lakh. The court also awarded a three-month imprisonment to S Karthikeyan, the bank’s legal head, for the error.<\/p>\n

The customer, R Selvaraj Primson, moved the court in 2012 when the bank refused to furnish him the break-up details or the Statement of Account for the settlement amount of Rs 1.70 crores paid in 2007.<\/p>\n

The bank claimed in its counter affidavit that “no excess amount was collected”. It was then that the court found that an excess of Rs 14,30,509 was collected from him.<\/p>\n

The bank then silently transferred the collected excess amount to Mr Primson’s other bank account without any intimation.<\/p>\n

A case of perjury was then filed, and the bank was convicted of perjury.<\/p>\n

It was on this basis, a criminal case was filed, and the Central Crime Branch of the Chennai Police unravelled a racket that pocketed large sums of excess money from customers and internally approved for diverting them as profit for the bank.<\/p>\n

The modus operandi<\/strong><\/h3>\n
Kotak Mahindra Bank had maintained two sets of account statements. One was the “customer copy”, which gave no break-up to the customers while foreclosing the loans.<\/p>\n
The other one was “accounts copy” that was circulated within the bank, giving exact details of the actual amount due and excess amount collected.<\/p>\n
Later, internally, the bank authorities would approve diverting the excess money collected to the bank’s profit account.<\/p>\n
The police have recovered such documents of hundreds of customers who were cheated.
\n\u00a0
\nMr Primson has been awarded a compensation of Rs 10 lakh from the fine imposed on the bank.<\/p>\n
When asked for his message to customers like him, he said, “When you foreclose a loan, kindly demand for the break-up for the settlement amount demanded. Check it and pay. Without such a statement you wouldn’t know the excess money being collected”.<\/p>\n
\u200bA Chennai court had last month held Kotak Mahindra Bank guilty of perjury in the same case and fined Rs 1.5 lakh.\u00a0\u00a0<\/p>","protected":false},"excerpt":{"rendered":"
A court in Chennai has convicted Kotak Mahindra Bank for criminal breach of trust and falsification of accounts<\/p>\n","protected":false},"author":0,"featured_media":129655,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-129654","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/alertindianews.in\/index.php?rest_route=\/wp\/v2\/posts\/129654","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/alertindianews.in\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/alertindianews.in\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/alertindianews.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=129654"}],"version-history":[{"count":0,"href":"https:\/\/alertindianews.in\/index.php?rest_route=\/wp\/v2\/posts\/129654\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/alertindianews.in\/index.php?rest_route=\/wp\/v2\/media\/129655"}],"wp:attachment":[{"href":"https:\/\/alertindianews.in\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=129654"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/alertindianews.in\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=129654"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/alertindianews.in\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=129654"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}