Rs. 2 Cr Fine imposed by CBI on 3 for causing Bank Loss of Rs. 206.87 Lakh

The Additional Chief Metropolitan Magistrate for CBI Cases in Egmore, Chennai (Tamil Nadu) sentenced three accused, comprising the former CEO / Chairman of a private company, to five years of rigorous imprisonment. The accused individuals and the aforementioned company have also been fined a total of Rs. 2,10,62,000.

Sh. P. Senthil Kumar, former CEO / Chairman of M/s. PalpapIchinichi Software International Limited was sentenced to five years of Rigorous imprisonment with a fine of Rs. 2,07,62,000, and Sh. S. Kalidasan @ H. Jayakumar and Sh. Thanjan Chezianare, both sentenced to five years RI with a fine of Rs. 1,000,000. each. M/s. PalpapIchinichi Software International Ltd. (represented by its Chairman Sh. P. Senthil Kumar) was also fined Rs. 1 lakh by the Court.

On September 27, 2008, the Central Bureau of Investigation registered a case on a complaint from the Bank of India against Sh. P. Senthil Kumar, CEO and Chairman of M/s. PalpapItchinichi Software International Ltd., and others.

It was alleged that the accused opened 149 loan accounts under the Star Personal Loan Scheme at Bank of India’s Anna Salai Branch in Chennai in the names of fictitious people being employees of his company and obtained loans by forging Salary Slips and Identity Cards in the names of loanees. The loan amounts were not repaid, resulting in a loss of Rs. 206.87 lakh to the Bank of India.

Following an inquiry, a chargesheet was filed against the accused on September 30, 2009.

The accused were found guilty and convicted by the Trial Court.