Chennai, July 26 (UNI) A CBI court today convicted and sentenced three people, including the former Managing Director of a private firm, to two years of Rigorous Imprisonment (RI) for cheating UCO bank in Chennai to the tune of Rs 1.05 crore Delivering the verdict, the Additional Chief Metropolitan Magistrate, Egmore, Chennai) also imposed a fine of Rs 40,000 each on the Company’s then MD G. T. Vijayan, and the other two accused P. Nagarajan and D Vijayakumar (both then Directors). The Court also imposed a fine of Rs. 40,000 on the company M/s Seaglad Pharamceu- ticals Pvt Ltd for causing loss to the bank. CBI had registered a case on March 23, 2011, on a complaint from UCO Bank, Zonal Office, against the company which was engaged in drugs manufacturing) against its MD and others.
It was alleged that the said private company owned by its MD along with other Directors availed credit facility of Rs. 70 lakh from UCO Bank, Main Branch, for development of their business by hypothecation of stock of raw materials, chemicals, finished goods, book debts not more than 90 days, proposed machinery and collateral security of vacant land at Thiruvanmiyur area in the city. The account became NPA on September 30, 2003. It was later revealed that the said property was al- ready acquired by TNHB which was suppressed by the accused and thereby defrauded the bank causing a loss to the tune of Rs. 1.05 crore to the Bank. After investigation, a charge sheet was filed against the accused. The Trial court found the accused guilty and convicted them.
