A branch manager of Bagalkot DCC Bank allegedly transferred ₹65 lakh to his personal account before going missing; police have registered an FIR and launched a search
The Karnataka Police have launched an investigation after a branch manager of the Bagalkot District Central Cooperative (DCC) Bank allegedly transferred ₹65 lakh from the bank's SBI account to his personal IDFC Bank account. The accused has been missing for several days, and an FIR has been registered at Lokapura Police Station. The incident comes months after a separate ₹12 crore fraud surfaced at other branches of the same cooperative bank.
Bagalkot: A branch manager of the Bagalkot District Central Cooperative (DCC) Bank has been accused of allegedly misappropriating ₹65 lakh by transferring funds from the bank's account to his personal account before going missing. The incident was reported at the bank's Lokapura branch in Mudhol taluk, following which an FIR was registered at Lokapura Police Station. Police have launched a search to trace the accused manager, identified as Gururaj Shivaraj, who has reportedly been absconding for several days.
The alleged fraud comes months after a separate ₹12 crore scam surfaced at the Ameengarh and Kamatagi branches of the same DCC Bank, raising concerns over financial oversight and internal controls within the cooperative banking system.
"Police have registered an FIR and initiated efforts to trace the accused, who is reported to have switched off his mobile phone and gone missing."
Manager allegedly transferred ₹65 lakh to personal account
According to the complaint, Gururaj Shivaraj had been serving as the branch manager of the Lokapura DCC Bank for nearly 12 years.
Investigators alleged that on March 31, he transferred ₹65 lakh directly from the bank's State Bank of India (SBI) account to his personal IDFC Bank account without authorization.
The alleged irregularity came to light after Gururaj proceeded on an extended leave, prompting the bank to appoint another manager to oversee the branch. During the handover process, officials reportedly detected discrepancies in the bank's financial records.
Police are examining transaction logs, bank statements and digital records to verify the alleged transfer and establish how the funds were moved.
Accused manager absconding after alleged fraud
Bank officials stated that Gururaj had not been attending the branch for several weeks. They also informed police that his mobile phone has remained switched off for the past four days, making it difficult to establish contact.
Based on the complaint, Lokapura Police registered an FIR and launched a search operation to trace the accused.
Investigators are collecting documentary evidence and analysing electronic banking records as part of the ongoing probe.
"Investigators are scrutinising banking records and digital transaction data as part of the ongoing investigation."
Earlier ₹12 crore DCC Bank scam raises concerns
The latest allegation has emerged after an earlier ₹12 crore fraud reported at the Ameengarh and Kamatagi branches of the same DCC Bank.
In that case, a bank employee was accused of involvement in the alleged financial irregularities. The latest allegation involving a branch manager has renewed customers' concerns about internal monitoring and financial safeguards within the cooperative bank.
Authorities have not indicated whether the two cases are connected. Police clarified that the present case is being investigated independently.
Possible BNS provisions if allegations are established
Police are continuing efforts to locate the accused while examining financial records and electronic evidence.
If the investigation establishes that the bank funds were intentionally transferred to the accused's personal account, the case may attract provisions under the Bharatiya Nyaya Sanhita (BNS), 2023, depending on the evidence collected.
The relevant provisions may include:
- Section 317 – Criminal Breach of Trust by a Banker: Applicable where a banker is alleged to have dishonestly misappropriated property entrusted to them. The offence carries imprisonment of up to 10 years along with a fine.
- Section 318 – Cheating and Dishonestly Inducing Delivery of Property: May apply if investigators establish that deception was used to facilitate the transfer of funds. The offence is punishable with imprisonment of up to 7 years and a fine.
- Section 306 – Theft by Employee: May be invoked if the evidence indicates that an employee unlawfully appropriated property under their custody. The punishment includes imprisonment of up to 7 years and a fine.
- Section 344 – Falsification of Accounts: If investigators find that financial records or electronic accounts were altered to conceal the alleged transaction, this provision may apply. The offence is punishable with imprisonment of up to 7 years, a fine, or both.
Police stated that the applicability of these provisions will depend entirely on the findings of the ongoing investigation and the evidence collected during the probe.
