A vehicle of Ashutosh Mishra seized by officials of economic offence wing in Bhubaneswar. Picture by Ashwinee Pati

Bhubaneswar, July 22: Officials of the state crime branch’s economic offence wing today arrested a 34-year-old for fraudulently seeking a loan of Rs 1.08 crore from a nationalised bank.

The police today arrested Ashutosh Mishra, a native of Tirtol in Jagatsinghpur, after he defaulted on his loan. Mishra had taken a loan of Rs 1 crore from Rasulgarh branch of a nationalised bank in two phases by fraudulently claiming himself as the proprietor of a known sweets and snacks manufacturing company.

Mishra also mortgaged a plot at Chandrasekharpur in the name of one Krushna Prasad Mishra as security for the loan. The police said Mishra had received the loan in two phases in October 2010 and July 2011. Besides, he had also availed himself of a car loan of Rs 8 lakh from the same branch in November 2010 with the help of forged documents.

However, the matter came into light after Mishra had been found defaulter in paying interest on the loan. Later, a case was registered with the wing on May 9 on the basis of a complaint by the bank’s chief regional manager.

Further investigation revealed that Mishra was not the proprietor of the sweets and snacks manufacturing company that he claimed to be. “Mishra had fabricated the letter of the sweets and snacks manufacturing company to get the loan. Besides, he arranged one person, who impersonated as Krushna Prasad Mishra and became a guarantor for him. The real Krushna Prasad Mishra died in 1994,” said deputy inspector general of the wing Rajesh Kumar.

Kumar also said possible involvement of bank officials in the fraud was being investigated. The cops have seized a Mahindra Scorpio, Rs 15,210 in cash, a spy camera mounted on a pen and five mobile phones from the accused. Mishra was arrested under sections 420 (cheating), 467 (forgery of valuable security), 468 (forgery for purpose of cheating), 120B (punishment of criminal conspiracy), 406 (punishment for criminal breach of trust) and 471 (using as genuine a forged document) of the Indian Penal Code.