Photo: Mathrubhumi archives
Thrissur: The Enforcement Directorate and Crime Branch have launched a probe to examine the connection between the middleman Kiran and a Velappaya native as part of the probe into Karuvannur cooperative bank scam. Kiran embezzled Rs 31.22 crore from Karuvannur cooperative bank and his friends, a Velappaya native suspected to have defrauded Rs 30 crore from the bank by depositing demonetised currency notes.
Further, the Velappaya native, acting as an illegal money lender, used the documents of properties and lands submitted by the loan applicants to embezzle money from the bank with the help of Kiran.
He arrived at Thrissur from the northern parts of Kerala and later started working in an footwear-making factory. Over time, he bought houses and properties by working as an illegal money lender. He currently owns houses in Irinjalakuda, Velappaya, and Kolazhi.
He possessed Rs 30 crore when demonetisation was announced in the country. Later, he sought help of Kiran to exchange the demonetised currencies and defraud the bank. He also furnished a higher value on the land and building documents he submitted to the bank.
Earlier, the probe team found that Kiran had embezzled Rs 31.22 crore. Further, Kiran and Velappaya native also started a mineral water company abroad. Kiran is absconding and is suspected to have fled abroad.