Case of financial misdoing against Rajya Sabha deputy chairmanBy IANS
Thursday, February 10, 2011
BANGALORE - The Karnataka government late Thursday said it had filed a police complaint against Rajya Sabha Deputy Chairman K. Rehman Khan over alleged financial irregularities of around Rs.100 crore (Rs.1 billion).
The irregularities are said to have taken place in Bangalore-based Amanath Cooperative Bank when Khan was its chairman between 1989 and 2002.
The complaint against Khan and several others was filed by the state’s cooperative department, Cooperation Minister Laxman Savadi told reporters here.
Savadi said a probe by the department into the bank’s affair had established that irregularities during Khan’s chairmanship had caused the bank loss of Rs.102.02 crore.
He said others named in the complaint included another former chairman of the bank Zia-ul-Sharief and A.A. Katib, a former director of the bank.
The central government would be informed about the filing of the complaint against Khan, Savadi said.
The bank was set up in 1977 mainly to help poor Muslims. Starting with a capital of Rs.300,000, the bank now boasts of a deposit of over Rs.440 crore, working capital of Rs.505 crore and net owned funds of Rs.29.53 crore.
The bank began with 3,000 members and now has over 40,000 members with more than 250,000 depositors and account holders. It has around 15 branches across the state.