Mysore/Mysuru: A major loan fraud case has come to light in Mysuru, where seven individuals allegedly used forged salary documents to obtain personal loans from a nationalised bank.
The accused, all employees of a dubious software firm, are reported to have collectively defrauded the bank of Rs. 65.95 lakh.
The case, uncovered during an internal audit, has prompted the Narasimharaja Police to investigate procedural lapses and failures in document verification.
The seven allegedly defrauded the State Bank of India (SBI) N.R. Mohalla Branch by submitting forged salary documents and securing personal loans amounting to Rs. 65.95 lakh.
The accused — H. Sannappa of Gandhinagar, N. Naveen Kumar of Vasanthnagar in Bogadi 2nd Stage, Nagesh of Vasanthnagar, H. Manjanna of K.G. Koppal, N. Deepa of Jayanagar, Srinivas of Kyathamaranahalli and Manjunath of Pulikeshi Road in Mandi Mohalla — were all employed at a fake Software Company, located in Bogadi.
They allegedly claimed that their salaries were credited to Axis Bank accounts and submitted forged salary credit statements to SBI, N.R. Mohalla branch, to obtain personal loans. Investigations revealed that none of the loans were repaid.
Seven accused, one firm
According to the complaint, Sannappa, who claimed to be a Marketing Manager at the Software Company, earning a monthly salary of Rs. 40,093, secured a Rs. 10 lakh loan on April 30, 2022.
Naveen Kumar, employed as a Technical Assistant with a claimed salary of Rs. 39,500, obtained Rs. 9.20 lakh on Feb. 17, 2022. Nagesh, also a Marketing
Manager from the same company, claimed the same salary and took Rs. 9.40 lakh loan on Dec. 7, 2023.
H. Manjanna, a Technical Assistant, claimed Rs. 39,500 and received Rs. 9.55 lakh loan on October 13, 2021. N. Deepa, another Technical Assistant of the same company, claimed Rs. 37,944 salary and secured Rs. 9.25 lakh loan on Nov. 5, 2021.
Srinivas, a Marketing Manager, claimed Rs. 35,844 and obtained Rs. 9.20 lakh loan on Oct. 12, 2021. Manjunath, working as a Digital Executive of the same firm, claimed Rs. 36,413 salary and took a loan of Rs. 9.30 lakh on Dec. 13, 2021. Together, the seven individuals secured loans totalling Rs. 65.95 lakh.
Probe into procedural lapses
The fraud came to light during an internal audit conducted on Sept. 17, 2022. Upon inquiry with Axis Bank, it was discovered that none of the accused held salary accounts there and the documents submitted to SBI were confirmed to be forged.
Following a Court directive, the current SBI N.R. Mohalla Branch Manager, Ramya, filed formal complaints against all seven individuals, resulting in separate FIRs.
Further investigation revealed that none of the accused had existing accounts with SBI at the time of loan approval. Their accounts were opened only after the loans were sanctioned, violating standard banking procedures.
Authorities are now probing whether bank officials bypassed mandatory verification protocols during loan disbursement. As per banking norms, lenders must obtain employment confirmation from the applicant’s workplace and verify the applicant’s CIBIL score before approving personal loans.
In this case, the accused allegedly submitted fake salary credit statements to falsely claim deposits into Axis Bank accounts.
It is suspected that loan officers failed to verify employment details or contact Axis Bank before sanctioning the loans.
This post was published on November 7, 2025 6:41 pm