RTI reveals CBI not investigating Karnataka bank scam, contradicting Siddaramaiah’s claim
PTC News Desk: In a recent development regarding the scandal involving Bengaluru’s Sri Guru Raghavendra Sahakara Bank Niyamitha (SGRSBN), an RTI response from the Central Bureau of Investigation (CBI) has disclosed that the agency is not investigating the case. This revelation contradicts Karnataka Chief Minister Siddaramaiah’s previous assertion that the CBI was handling the investigation.
In December of last year, Siddaramaiah had announced that the investigation into the SGRSBN bank scam was transferred to the CBI. This claim has now been challenged by the RTI response, which has left depositors disheartened. Many had hoped that a CBI probe would bring justice and reveal the truth about the scandal.
Siddaramaiah had assured that the depositors’ futures would be safeguarded following the exposure of the bank scam. He stated that the CBI had been authorized to investigate the case, including the Guru Raghavendra Co-operative Bank, Vasishtha Bank, and Guru Sarvabhauma Bank scams. Siddaramaiah emphasized the plight of thousands of depositors who had invested their savings in the bank for their retirement, children’s marriages, and other life goals, only to face uncertainty due to the bank’s fraudulent activities.
As Leader of the Opposition, Siddaramaiah had previously advocated for a CBI probe into the bank scam through protests and appeals. He expressed his personal concern for the depositors’ distress and pledged to ensure a thorough investigation and justice for the victims by advocating for the CBI’s involvement.
What Is the SGRSBN Scam?
The SGRSBN scam came to light in 2020 when the Reserve Bank of India (RBI) imposed withdrawal restrictions on the bank, uncovering a misappropriation of approximately Rs 2,500 crore by the bank’s management. The scam has affected over 45,000 depositors. While most depositors received the Rs 5 lakh insurance payout from the Deposit Insurance and Credit Guarantee Corporation, more than 15,000 depositors with balances exceeding Rs 6 lakh have not been fully compensated.
In response to the scam, the Enforcement Directorate (ED) has attached bank properties valued at Rs 159 crore. The bank management, along with accomplices, has been accused of diverting substantial sums of money.