Investigations have revealed that Rahman Khan had released Rs 12 crore to a real estate firm where his wife was one of the partners.
Investigations have revealed that Rahman Khan had released R12 crore to a real estate firm where his wife was one of the partners.
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Rajya Sabha Deputy Speaker K Rahman Khan who is under fire for misappropriation of crores of rupees, releasing Rs 12 crore in excess to a city based real estate firm, where his wife was one of the partners, investigations have revealed.
All in the family? The CEO of a bank has alleged that Khan had
released Rs 17 crore from the bank to city-based PHR Builders against
Rs 5 crore shown on paper, out of which Rs 1.2 crore was remitted to
his son-in-law's account. File pic
Shahar Banu, CEO, Amanath Co-operative bank, who is investigating the misappropriation case found that Ayesha Rahman, Khan's wife was a partner at PHR developers, which undertook construction and development activities of the bank. PHR was owned by noted builder Irfan Razack and his brother Rizwan Razack, who are now known as Prestige builders.
In her complaint to the commercial street police station on February 9, Banu said that the bank represented by K Rahman Khan entered an MOU with PHR builders for purchasing land and constructing the building for the bank.
Banu who investigated the then president, board of directors and the GM of the bank, Mohammed Asadulla neither obtained permission of the Department of Co-Operative and the Reserve Bank of India, nor invited tenders, released overdraft worth crores of rupees to PHR builders, without even obtaining bills from the company.
The investigations have also pointed that the bank and PHR had agreed upon through MOU that the total cost of the project would be Rs 5 crore, but the final released amount was Rs 17 crore. This shows that Rahman Khan along with the board of directors defrauded the bank and released an excess amount of s 12 crore against Rs 5 crore mentioned in the MOU.
After receiving the excess amount, PHR builders transferred 54 lakh to the accounts of Maqsood Ali Khan, who is Khan's son, and Ayub Khan, his son-in-law, who was the then president of the bank.
Investigations also revealed that Asadulla executed a sale deed with PHR developers on March 30, 2000. The MOU was registered in the Sub Registrar office at Shivaji Nagar, where the sale consideration amount of the sale deed was shown as only Rs 5 crore, including the cost of the land.
Rs 2 crore for AC
It looks like Khan was generous in decorating bank head office with the public money, as the records show that he has released Rs 2.08 crore towards interiors and air conditioning. This is also in the violation of rules, as neither tenders were called nor the estimation was done, the investigations has revealed.
After the investigations and submission of the detailed report to the authority concerned, the bank pursued for recovering the excess amount and succeeded in recovering Rs 8.37 crore lakh from Razack by way of two cheques.
"The amount has been credited back to the bank," Banu said, adding that this is clear admission of guilty on the part of all the persons involved in the fraud. While the Commercial Street police are tight lipped about this, ACP BB Ashok Kumar admitted that the case has been taken up and they have initiated investigations.
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