Three Mysuru bank officials under I-T scanner in Rs 5.7 crore currency scam

The officials are suspected to be involved in the exchange of demonetised currency for new notes.
Three Mysuru bank officials under I-T scanner in Rs 5.7 crore currency scam
Three Mysuru bank officials under I-T scanner in Rs 5.7 crore currency scam
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After one of the Income Tax Department’s biggest raids in recent times in Bengaluru unearthed  Rs 5.7 crore in new currency notes, bank officials in Mysuru have come under the Department’s scanner in connection with the case, the Times of India reported.

I-T officials reportedly examined the residences of these officials early on Saturday.

The report stated that these bank officials were suspected of being involved in exchanging demonetised notes for new currency notes, and are believed to have acted through agents.

Mysuru district lead bank manager KN Shivalingaiah told TOI that he was unaware of the development as I-T officials do not disclose details of their operation. 

The TOI also quoted a source who indicated that a minister could be involved in the scam after I-T officials questioned Chikkarayappa and KC Jayachandra, the two senior government officials implicated in the seizure of Rs 5.7 crore in new currency.

On Friday, the I-T Department said on Friday that cash in excess of Rs 6 Crores, bullion of approximately 7kg and jewellery of about 9kg were found from the residences and offices of four Karnataka state government officers.

Two of them were Chikkarayappa, the Managing director of Cauvery Neeravari Nigama Ltd and KC Jayachandra, the Chief Project Officer of the State Highway Development Authority.

Out of the cash found, Rs 5.7 Crores was in new currency of Rs 2000 notes and Rs 90 lakh was found in the old demonetised currency.

The investigators also found Rs 152 crore worth unaccounted property in the homes of the two senior officers.

The duo was suspended pending further investigation.

Meanwhile, other crackdowns on bank officials post demonetisation have reportedly  led to 27 senior officials of public sector banks being suspended, and six others being transferred to non-sensitive posts over allegations of corruption.

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