Indian Bank Manager and Associate Arrested for Loan Fraud under CM Udyam Loan Scheme

Police have arrested Ayodhya Prasad, a manager at Indian Bank, and his associate Brijesh Kumar Singh for their involvement in a fraudulent scheme to embezzle funds from a government-backed loan program. The two are accused of misappropriating funds meant for a loan under the Chief Minister Udyam Loan Scheme, which provides financial assistance to small entrepreneurs.

How the Fraud Took Place

The accused bank manager and his associate fraudulently sanctioned a loan of ₹9 lakh for Sunil Kumar Verma, but only disbursed ₹99,000 to him. The remaining amount, approximately ₹7 lakh, was allegedly embezzled by Ayodhya Prasad and Brijesh Kumar Singh.

According to the police, Ayodhya Prasad and his associate were involved in getting loans approved using fake documents. This scam allowed them to divert government money meant to support genuine loan applicants.

Details of the Arrested Individuals

• Ayodhya Prasad is the son of Shivpujan Johri, a resident of Mithai Vatika New Litrail Champ School, Patel Nagar, Manikapur, Gonda.
• Brijesh Kumar Singh is the son of Ayodhya Prasad Singh, residing in Adhinpur, Rehra Bazar, Balrampur.

The police have registered a fraud case at the Rehra Bazar Police Station. Click here to read more news.

Other Arrests and Police Efforts

In connection with the case, two more individuals—Assistant Manager Atin Saxena and Rinku Sharma (also known as Kaushal Kumar)—have already been arrested and sent to jail. During their interrogation, the arrested individuals revealed that they specifically chose postings in rural and backward areas to deceive less educated people into trusting them. By gaining the trust of these individuals, they could then cheat them out of government funds.

The police are currently making efforts to track down the remaining wanted accused, Suresh Verma and Munshilal Verma, who are believed to have been involved in the scam.

Know about UP Chief Minister’s Youth Entrepreneur Development Campaign

Highlights of the scheme

• 1. Self-employment opportunities to 1 lakh youth every year and a total of 10 lakh youth in 10 years.
• 2. Age between 21 and 40 years, minimum educational qualification of 8th pass and skill training certificate from a recognized institute.
• 3. 100% interest free and guarantee free loan for industry/service projects up to Rs. 5 lakh.
• 4. 10% margin money grant on project cost.

Eligibility Conditions

• Age: 21 to 40 years.
• Educational Qualification: Minimum 8th pass or equivalent.
• Trained under Vishwakarma Shram Samman Yojana, ODOP Training Scheme, SC/ST/OBC Training Scheme, UP Skill Development Mission or have skill related certificate/degree/diploma etc. from a recognized educational institution.
• The applicant should not be receiving benefits under any other Central or State Government scheme (which includes interest or capital component) except PM SVANidhi Scheme.