CBI Court Sentenced Ex-Branch Manager of UCO Bank to 5 Years Rigorous Imprisonment

Sh. K. K Bhardwaj, then Branch Manager of UCO Bank, Taharpur Bhabisa Branch, Muzaffarnagar (U.P.), was sentenced to 05 years of rigorous imprisonment and a fine of Rs. 70,000 for criminal conspiracy, misconduct, cheating, forgery, and other offences by the Special Judge for CBI cases in Ghaziabad.

The Central Bureau of Investigation (CBI) filed a case On March 31, 1993, against the then-branch Manager of UCO Bank’s Taharpur Bhabisa Branch in Muzaffarnagar, Uttar Pradesh, and unknown parties.

It was alleged that the accused while working as a Branch Manager for UCO Bank in the aforementioned branch in 1991-92, formed a criminal conspiracy with a private individual with the intent to commit criminal misconduct, cheating, and forgery.

In the aforementioned bank branch, the private individual opened two SB accounts under false names, Ashok Kumar Sharma and Narendra Kumar Goel, respectively. The accused Branch Manager fraudulently authorized the opening of both of the aforementioned accounts.

Subsequently, it was claimed that Rs. 27 lakh (approximately) was placed in the account formed in Ashok Kumar Sharma’s name between December 24 and November 4, 1992. This was thereafter utilized to create drafts in the names of three people using a cheque supplied by the aforementioned private individual.

Similarly, Rs.21 lakh was deposited in another account formed in Shri Narendra Kumar Goel’s name, which was used to issue 8 drafts of varied amounts by accused Shri K. K. Bhardwaj. These drafts were issued by the Branch Manager, who also provided bogus certifications stating that they were issued from an NRE account and received in convertible foreign exchange.

Based on the certificates issued by accused Shri K. K. Bhardwaj, Branch Manager, UCO Bank, the individuals who received the funds via the above demand drafts claimed income tax exemption under the Foreign Exchange (Immunities) Scheme, 1991, which provided immunity from income tax for any gift received from a non-resident external account.

After conducting an investigation, the CBI filed a chargesheet against Shri K. K. Bhardwaj and the aforementioned private person on February 23, 1996.

During the trial, the Hon’ble Trial Court took cognizance of five additional suspects who happened to be Chartered Accountants. Subsequently, on 02.03.2016, the Hon’ble Allahabad High Court suspended the trial procedure in the case of an additional accused, which was later vacated on 18.12.2020.

Because the charge-sheeted accused private person died during the trial, the charges against him were dropped. The trial of other charge-sheeted accused was on a different footing than the trial of additional accused persons; in August 2023, the Trial Court separated the trial of accused Shri K. K. Bhardwaj from the trial of additional accused persons (five Chartered Accountants).

After the trial against accused Shri K. K. Bhardwaj, the Trial Court declared him guilty and punished him accordingly.