The Central Crime Station (CCS) of Hyderabad Police has registered a case against five former employees of Unity Small Finance Bank. They are accused of cheating the bank of nearly ₹70 crore by falsifying records.
The case was registered based on a complaint filed by Ajay Kumar Punna. The accused include Basam Nikhilesh Reddy, former Regional Credit Manager (Secured Lending); Kiran Lingam, former Area Business Manager (Sales – Secured Lending); Shaik Arshad Mohammod, former Area Business Manager; Ajay Newatia, former Senior Regional Head (Business Banking Group); and E Sai Shravan Kumar, former Relationship Manager (Secured Lending).
According to the complaint, the accused worked at the bank between 2023 and 2025. Their responsibilities included loan sourcing, loan appraisal, underwriting, property valuation coordination, loan disbursal, and monitoring of loan accounts.
An internal investigation in early 2025 reportedly found serious irregularities in the secured lending portfolio. These included high loan defaults, inflated property valuations, artificial EMI funding, and suspicious transactions involving customers and Direct Sourcing Agents (DSAs).
Police said the accused allegedly misused their official positions for personal gain. They are accused of demanding illegal payments for loan approvals, approving loans with inflated property values, diverting DSA payouts, and using supervisor login credentials to approve unauthorized loans.
They also allegedly arranged illegal EMI funding through local financiers to prevent loan accounts from being classified as non-performing assets (NPAs). Investigators said some funds were routed through relatives and other third parties to hide the money.
Based on the complaint, CCS police registered a case under Sections 316(5), 318(4), 336(3), 340(2) read with 61(2) of the Bharatiya Nyaya Sanhita (BNS). Further investigation is ongoing.