6 days ago
Former Grameen Bank Manager Booked Over PMEGP Fund Diversion
The Anti-Corruption Bureau has accused a former bank branch head and others of mishandling government-backed loans.
The loans were part of a program called PMEGP, which helps people start businesses.
Investigators say subsidies were released too early in 25 loan accounts.
They say the total subsidy involved was Rs 41,17,500.
Six loans belonging to one beneficiary and family members were allegedly closed using the subsidies.
Officials also checked 46 projects financed by the branch.
They reportedly could not find any businesses operating at those locations.
The agency has filed a case and says the investigation is continuing.
The Jammu and Kashmir Anti-Corruption Bureau registered a case against former branch head Arvind Saini.
Saini allegedly conspired with PMEGP beneficiary Firdous Ahmad Sheikh to release or reverse subsidies prematurely.
The alleged subsidy irregularities involved Rs 41,17,500 across 25 PMEGP loan accounts.
Six loans sanctioned to Sheikh and family members were allegedly closed by adjusting subsidies before the lock-in period ended.
Physical verification found no business units among 46 financed PMEGP projects involving Rs 1,66,72,000 in sanctioned or disbursed funds.
- Who
- The Jammu and Kashmir Anti-Corruption Bureau named former Jammu and Kashmir Grameen Bank branch head Arvind Saini, beneficiary Firdous Ahmad Sheikh and others.
- What
- An FIR was registered over alleged financial irregularities, premature subsidy releases and diversion of PMEGP loan funds.
- Where
- The alleged misconduct involved the Reban branch of Jammu and Kashmir Grameen Bank in the Sopore area of Baramulla district, Jammu and Kashmir.
- When
- The alleged irregularities occurred between 2021 and 2023; the case was registered on Monday, September 21, according to the report.
- Why
- The ACB alleges that PMEGP operational guidelines were violated and that subsidies and loan funds were diverted through a criminal conspiracy.
Key facts
- Investigating agency
- Jammu and Kashmir Anti-Corruption Bureau
- Former branch head
- Arvind Saini, formerly of the Reban branch of Jammu and Kashmir Grameen Bank
- Alleged beneficiary
- Firdous Ahmad Sheikh
- Subsidy allegedly released early
- Rs 41,17,500 across 25 PMEGP loan accounts
- Projects physically verified
- 46 PMEGP units
- Sanctioned or disbursed amount
- Rs 1,66,72,000
- Legal provisions
- Prevention of Corruption Act and Sections 409 and 120-B of the Indian Penal Code
Sources
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