An official of the State Bank of India has been arrested in connection with an alleged fraud of Rs 3.60 crore, police said today.
The official, chief co-ordinator at SBI in Ludhiana, allegedly helped an industrialist in floating fake firms for securing loan from Bank of Baroda by submitting fake documents, city SHO Inspector Ravinder Singh said.
He was booked on charges of fraud, forgery and criminal conspiracy, the officer said, adding that the industrialist has already been arrested.
The fraud had come to light in July after an inquiry into a complaint by Satpal Singh of Jalandhar, that his land in Ludhiana was shown to be mortgaged against loan of Rs 3.60 crore to four firms.
It was found that loan was granted to four firms of the industrialist by mortgaging land through a duplicate registration deed, the SHO said.
