Arrests and suspension following 56 crore APMFC scam

MD of AP Pradesh Minorities Finance Corpn. Ilyas Rizvi suspended; four including bank officials arrested.

By TCN Staff Reporter,


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Hyderabad: The Rs 56 crore scams in the Andhra Pradesh Minorities Finance Corporation (APMFC) that came to light last week after CID raids on complains, has led to the suspensions of its Managing Director and arrests of bank officials.

Dr. Mohammed Ilyas Rizvi, MD and vice-chairman of the APMFC has been suspended by the order of the chief minister. Dr. Rizvi 1984 batch Indian forest officer was in the eye of the storm after 56crore fraud unearthed in the corporation he headed for nearly four years.

In his place Parveenbaig is being appointed new MD of APMFC.

A day before, he was trying to run away from APMFC office, hiding some important files in the official car brought, that raised suspicions against him. Many political parties and Muslim organization were gunning for him charging him responsible of showing apathy in the performance of official duties.

The fraud in the minority finance corporation has become a sensitive issue, as the money siphoned deceitfully from the APMFC bank account in Vijaya Bank was meant for the scholarships of poor Muslim students.

Although the fraud of 56 crore is miniscule, considering new scams unfolding every day, but keeping in mind the fact that budget for backward class Muslims fee reimbursement is just 96 crore, 58 % of the amount is substantial, that was being embezzled.

Minorities’ Affairs Minister, Mohammed Ahmedullah, who also came under the fire and demand for his resignation from his political rivals are still a fresh, said that CID which is investigating the case will also interrogate Ilyas Rizvi.
Ilyas Rizvi, who made APMFC winner of four national awards including E- India and E-Governance awards, has maintained that he has nothing to do with the scam, and is open for any enquiry.

Meanwhile, CID till now has arrested four persons including Naveen Sagar, assistant manager of Vijaya Bank in Raichur, Karnataka. CID has arrested ‘mastermind’ of the plot, C. V. K. Saikumar, who is MD of a city-based software firm Swal Computers, his associate N. Venkata Raman and B. Kesava Rao, a middle man who has earlier provided services to APMFC to open an account and to transfer vast amount in Vijaya Bank.

CID officials has discovered that out of 56 crore misappropriated, an amount 8 crore was invested in the ABC news channel, 14 crore ‘fixed’ in different banks. 28 lakh worth two Volksvagan cars, one Cheverlot and one Innova cars have also been bought from the money. Some properties in Mahbubnagar district have also been purchased.

Presently accused are in 14 days judicial custody, CID is pitching in the special court to get the custody of the accused for further interrogation.

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