Bengaluru: Complaint filed against Ramesh Jarkiholi over defaulting on loan

Former Minister of Small Scale Industries in the Government of Karnataka and Bharatiya Janata Party (BJP) leader Ramesh Jarkiholi has found himself in a difficult situation as the Karnataka State Co-operative Apex Bank has filed a complaint against him the VV Puram Police Station over alleged defaulting on a loan. The case has been filed by the Bank Manager Rajanna. A case has been filed under Section 420 of the Indian Penal Code (IPC). Ramesh Jarkiholi has been named as the ‘Accused Number 1” in Rajanna’s complaint. 

He has procured a loan of Rs 232.88 crore between 2013 and 2017 from the Karnataka State Co-operative Bank in Chamarajpet. With the added interest due to irregularity in payment, Rs 439.07 crore is the pending payment from Ramesh Jarkiholi. Rajanna has also alleged that Ramesh has intentionally misled the bank and withheld information from them. A charge of breach of trust has been levied on Ramesh. 

The loan was procured on account of Saubhagyalakshmi Sugars Limited, a sugar factory located in the Gokak Taluk of the Belagavi district. The establishment and expansion of the factory was the motive for procuring the loan. Apart from Ramesh, Vasanth V Patil and Shankar Pavade have also been named in the complaint.