Chennai Port Trust moves HC over bank fraud

Claims ₹100.57 cr had been transferred to a current account opened by an impostor

The Chennai Port Trust (CPT) has moved the Madras High Court in connection with a case of ₹100.57 crore deposited by it in Indian Bank’s Koyambedu branch, Chennai, last year getting locked because the fixed deposits were closed and the money had been transferred to a current account opened by an impostor posing as Deputy Director (Finance). Justice R. Mahadevan wondered how banks could allow such frauds to take place and ordered notice to the bank. He permitted CPT to issue private notice to the bank besides filing a petition to implead Central Bureau of Investigation (CBI) to the writ petition since it appeared that both the port trust as well as the bank had lodged complaints with the bureau over the fraud. In an affidavit filed on behalf of the CPT, its Financial Advisor and Chief Accounts Officer D. Ramana Murthy said it was a body constituted under the Major Port Trusts Act of 1963 and governed by a Board of Trustees appointed by the Centre. The CPT received large sums of money by virtue of its commercial operations and credits it to a fund called as General Account of the port. The excess funds were parked in fixed deposits.