Former Central Bank manager arrested in over Rs 4 crore fraud linked to government subsidy schemes in Arunachal

Capital Police have arrested Vivoto V. Zimo, former Branch Manager of the Central Bank of India, Ganga Branch, from Dimapur, Nagaland, for allegedly masterminding a financial fraud exceeding Rs 4 crore involving beneficiaries of government subsidy schemes in Arunachal Pradesh.

 

The case was registered on July 9 after a complainant alleged that Zimo had cheated him of Rs 2.5 lakh of his own money and Rs 2 lakh in government subsidy sanctioned under the Atmanirbhar Pashupalan Yojana (ANPPY). Based on the complaint, Itanagar Police registered a case under relevant provisions of the Bharatiya Nyaya Sanhita (BNS), 2023, and launched an investigation.

 

During the probe, police found that the complaint was part of a much larger fraud. So far, investigators have identified 18 victims, with the alleged amount siphoned off estimated at Rs 3,23,70,000 under the Atmanirbhar Pashupalan Yojana (ANPPY) and the Deen Dayal Upadhyaya Swavalamban Yojana (DDUSY).

 

Police said the accused allegedly forced beneficiaries to deposit amounts far higher than the prescribed margin money, created fixed deposits in their names, and sanctioned loans against those deposits. He then allegedly obtained pre-signed withdrawal slips and other banking documents under the pretext of loan processing.

 

After government subsidies and loan amounts were credited to the beneficiaries accounts, the accused allegedly used those signed withdrawal slips to withdraw the money without the account holders' knowledge or consent.

 

The investigation further revealed that the withdrawn funds were routed through multiple mule bank accounts before being transferred to two accounts operated by the accused. Police alleged that the money was subsequently invested in cryptocurrency trading and the stock market, where substantial losses were incurred. Investigators also found that more than Rs 50 lakh had allegedly been advanced as private loans on interest.

 

Police have also uncovered two additional alleged frauds involving Rs 1 crore, which was allegedly misappropriated after being deposited as a fixed deposit, and another Rs 35 lakh cheating case. Both cases remain under investigation.

 

Zimo was arrested in Dimapur on July 15 after police tracked his location. The investigation is continuing to identify more victims, trace the complete money trail, recover the proceeds of crime, and ascertain whether any other bank officials or private individuals were involved.

 

Superintendent of Police Jummar Basar urged beneficiaries of government loan and subsidy schemes to carefully read official guidelines before signing any banking documents or depositing money. He advised the public never to sign blank withdrawal slips or financial instruments and appealed to anyone who may have been cheated by the former bank manager to approach Itanagar Police Station with relevant documents as the investigation progresses