IMA case: CBI seeks Karnataka govt sanction to prosecute officers for receiving bribes

PTI, Jun 12, 2020, 9:16 AM IST

New Delhi: The CBI has sought sanction to prosecute a Karnataka cadre IAS officer and two other officers of the state government for allegedly receiving fat bribes to give a clean chit to I-Monetary Advisory (IMA), allowing it to collect over Rs 4,000 crore from investors who were duped by the company, officials said Thursday, June 11.

“The agency has moved the Karnataka government, seeking sanction to prosecute IAS officer B.M. Vijayshankar, the then deputy commissioner of Bengaluru urban district, Karnataka Administrative Service officer L.C. Nagaraj, then assistant commissioner, Bengaluru, and N. Manjunath, then village accountant,” they said.

“If the state government accords sanction, the agency will immediately file a charge sheet against the accused officers,” they said.

The agency investigation has shown that Nagaraj was competent authority to conduct an inquiry under Karnataka Protection of Interest of Depositors in Financial Institutions (KPID) Act who gave a clean chit to the company allowing it to carry on with its activities of collecting funds in the name of Islamic banking.

“Even though over Rs 4,000 crore were illegally collected from more than a lakh investors, Nagaraj without conducting proper inquiry submitted a report to the Karnataka government recommending closure of the case against IMA group on the grounds that no unauthorized deposits were being collected and investment from partners under limited liability were exempted under KPID Act,” an official said.

Nagaraj allegedly received a huge bribe from IMA Managing Director Mohammed Mansoor Khan allowed him to carry out his activities unhindered, they said citing findings of the agency.

Vijay Shankar failed to point out lacunae in the inquiry conducted by Nagaraj forwarding it to Karnataka government endorsing the findings to close the inquiry for which he allegedly received Rs 1.50 crore from an IMA Director, they said.

“Manjunath posted in Nagaraj”s office allegedly acted as a middleman between Khan and Nagaraj facilitating bribe transfers for which he was paid handsomely,” they said.

The CBI had registered a case on August 30 last year against Mohammed Mansoor Khan, managing director of the company, and others pursuant to the notifications issued by the Karnataka government and the government of India.

“The case against these three accused is an off-shoot of the FIR against Khan,” they said.