A major financial irregularity has been detected in the co-operative banking system of Mandla district. Loan records were allegedly altered to convert a rejected proposal of ₹38 lakh into an approved loan of ₹65 lakh. The Economic Offences Wing (EOW) has filed an FIR and launched a probe against four officials, including the then General Manager.
The case pertains to the Alp Bachat Sakh Sahkari Samiti Maryadit, Mandla.
Complaint triggered the probe
According to EOW, the complaint alleged that the committee:
- failed to return depositors’ money on time
- sanctioned loans in violation of rules
- ignored recovery norms and audit observations
When investigators examined the records, several glaring irregularities came to light.
One letter removed — and the loan ‘got approved’
As per the inquiry, on 8 November 2011, the loan sub-committee of the District Co-operative Central Bank decided:
Since ₹38 lakh was already outstanding, the new proposal stands “rejected.”
But the records were later changed.
It is alleged that then General Manager Narendra Kori, along with a few employees:
- removed the first letter from “rejected” to make it read “approved”
- increased the proposed amount from ₹38 lakh to ₹65 lakh
Barely three days later — on 12 November 2011 — the ₹65 lakh loan was disbursed.
Money allegedly shared
According to EOW, the sub-committee’s decision was deliberately concealed and the funds were siphoned off. The amount was allegedly shared among:
- Narendra Kori — then General Manager
- N. L. Yadav — Establishment In-charge
- Atul Dubey — Accountant
- Shashi Chaudhary — Manager, Co-operative Committee
The probe also found that Manager Shashi Chaudhary collected about ₹26.68 lakh from non-members, which is being treated as misuse of position and cheating.
Evidence of forgery and tampering
Examination of documents revealed:
- incomplete recording of committee decisions
- approval notes added later
- overwriting and forged signatures to inflate amounts
Officials said such manipulation not only violates rules, but also damages public trust in the banking system.
FIR and sections applied
In Crime No. 168/2025, EOW has invoked serious provisions related to:
- criminal breach of trust
- criminal conspiracy
- cheating and forgery
- causing financial loss through fake documents
Relevant sections include IPC 409, 420, 467, 468, 471, 120B, along with Section 7(C) of the Prevention of Corruption Act, 2018.
What happens next
EOW will now focus on:
- forensic examination of loan files
- fixing responsibility of all involved officials
- tracing how the disbursed funds were actually used
Investigators say, if the charges are proven, the case will highlight a serious failure of oversight in the co-operative banking system — where a single letter led to losses worth lakhs.
