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Three credit society officials arrested for alleged cheating

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Press Trust of India Yavatmal
Last Updated : May 08 2015 | 8:22 PM IST
The Wadgaon Road police has arrested three people including the president of a local co-operative credit society called Sarva Seva Vyapar Sankul Sahakari Path Sanstha, for allegedly cheating customers on Thursday night, a police official said here today.
The police produced the three accused before court on Friday afternoon and obtained their custodial remand until May 12, Wadgaon Road police station officer Balkrishna Jadhav said.
Action was taken against the credit society's board of directors after receiving complaints from ten fixed depositors who alleged that their fixed deposits were not paid even after expiry of maturity dates.
"We conducted a preliminary enquiry into these allegations and found a prima facie case against the credit society's president Purushottam Kakade, its secretary Ashok Petewar and its former president Shamsuddin Kazi," the police official said, adding that the three accused were arrested from their respective residences in the city on under Section 420, Section 406 and Section 409 of the Indian Penal Code.
Allegedly, they misappropriated deposit amounts to the tune of Rs 93.28 lakh deposited by the ten complainants, the police official said.
The accused Purushottam Kakade was the manager of the Yavatmal Zilla Parishad Employees' Co-Operative Pat Sanstha from its inception and later shifted to the Yavatmal District Central Co-Operative (YDCC) Bank as its Chief Executive Officer, the police official said.

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Recently, Kakade retired as YDCC Bank CEO and became president of the Sarva Seva Vyapar Sankul Sahakari Path Sanstha, while his wife Usha Kakade who is the credit society's executive director, is absconding, the police official said.
The accused secretary of the credit society Ashok Petewar is a junior assistant in the Yavatmal Zilla Parishad Employees' Co-Operative Path Sanstha. Depositors are mainly teachers who deposited their retirement benefit amounts with the credit society, the police official said.
The police suspects misappropriation of a huge amount collected from depositors.
The case is being investigated, the police official said.

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First Published: May 08 2015 | 8:22 PM IST

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