Bengaluru bank fraud: Private firm accused of cheating Karnataka Bank of ₹121.69 crore, directors booked

Real estate company allegedly took huge loans by mortgaging buildings but later sold the properties without informing the bank, leading to a major fraud case in Bengaluru.

A major banking fraud case has come to light in Bengaluru, where a private company has allegedly cheated Karnataka Bank Limited of more than ₹121.69 crore. The complaint has led to a police case against the company’s directors.

The fraud is linked to the Karnataka Bank branch located in Jayanagar, while the accused company is based in 4th Phase of Girinagar in Bengaluru.
According to the complaint, the company named Sri Krishna Shelter Private Limited had entered into a loan agreement with the bank. The company had taken large loans from the bank for construction of residential buildings.

To secure the loan, the company had mortgaged several buildings and properties to the bank. Based on these mortgaged assets, the bank sanctioned loans amounting to several crores.

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However, the company is now accused of fraudulently selling those mortgaged buildings without informing the bank. As per the allegations, the company sold the properties while the loan was still pending and failed to repay the borrowed amount.

Further allegations state that the company neither cleared the loan nor handed over the mortgaged buildings to the bank, which resulted in a loss of ₹121.69 crore to the bank.

Following this, a formal complaint was filed by Shubha, the bank manager of the Karnataka Bank branch in Jayanagar.

Based on this complaint, the police have registered a First Information Report (FIR) against the individuals connected with the company. The accused include the Managing Director Raghavendra, Director Srilakshmi, and Akshay Singh.

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Police sources said that Raghavendra and Srilakshmi are husband and wife, and both held key positions in the company.

The case has been officially registered at the Girinagar Police Station in Bengaluru. Authorities have begun further investigation into the alleged fraud and financial transactions related to the loan.