Idukki, Kerala: A First Information Report (FIR) has been registered over an alleged ₹1.02 crore loan fraud at the Thopramkudy Cooperative Bank in Kerala’s Idukki district, where loans were allegedly sanctioned in the name of the Communist Party of India (Marxist) (CPM)’s party newspaper. Police have accused the bank’s former secretary, former president and several others of abusing their official positions to approve fraudulent loans and misappropriate bank funds. The investigation is focused on financial records and the bank’s loan sanctioning process.
According to the FIR, former bank secretary Sunitha Kumari has been named as the primary accused, while former bank president Shine Thomas has been listed as the second accused. Investigators allege that the two misused their positions to sanction 44 loans in the name of the CPM’s party newspaper, resulting in the alleged misappropriation of ₹1,02,31,406.
Police further allege that the accused created fake Self-Help Groups (SHGs) and approved loans without adequate documentation or the required collateral. Investigators claim that established banking procedures and cooperative lending norms were bypassed, allowing substantial amounts of money to be disbursed through multiple accounts, causing significant financial loss to the cooperative bank.
The FIR also states that Sunitha Kumari alone allegedly committed irregularities amounting to more than ₹49.25 lakh through 11 loan accounts. Former president Shine Thomas and the remaining accused have also been charged with participating in multiple irregular loan transactions during the same period.
The investigation has further revealed alleged irregularities in agricultural lending. According to police, accused persons numbered three to eleven allegedly approved agricultural loans worth approximately ₹2.95 crore in violation of prescribed procedures. The FIR also alleges that an additional ₹61.09 lakh was misappropriated through various agricultural loan schemes.
Investigators are now examining loan files, financial records, beneficiary details and banking transactions to determine whether the loans were sanctioned to genuine borrowers or obtained using fabricated documents and fictitious beneficiaries. Police are also investigating whether any additional bank officials or external individuals were involved in the alleged conspiracy.
Authorities emphasised that the allegations are based on the contents of the FIR and the evidence gathered during the preliminary investigation. The accusations have not yet been tested in court, and the guilt or innocence of the accused will be determined through the judicial process.
Financial crime experts note that cooperative banks require strict verification of borrower credentials, supporting documents and internal audit mechanisms to prevent fraud. Weak oversight and procedural lapses can create opportunities for fake loan accounts, fictitious beneficiaries and organised financial crimes.
Police said a detailed examination of the bank’s financial records, loan approval process and related documents is underway. Further legal action will be taken based on the evidence collected during the investigation, and additional individuals may be brought under scrutiny if their involvement is established.
