Bengaluru, 18 April

As the shadows of a financial scandal continue to loom over Sri Guru Raghavendra Sahakara Bank in Basavanagudi, depositors find themselves ensnared in a protracted battle for justice. Since Reserve Bank of India (RBI) imposed withdrawal restrictions on the bank in 2020, more than 15,000 depositors with deposits exceeding Rs 6 lakh remain uncompensated. In February, Enforcement Directorate told the jurisdictional court that it found no documents for over 2,000 loans amounting to Rs 1,544 crore.

At a recent election meeting of BJP MP Tejasvi Surya, aggrieved investors heckled the lawmaker and urged him to take action and render justice to the investors of the bank.

The genesis of the scandal dates back to 2020 when Enforcement Directorate discovered the fraudulent activities in the bank. Officers and employees were accused of siphoning off funds through fictitious loan accounts and deceptive practices.

V Harish, General Secretary of the closed bank, told Salar News “A total of 43,000 people deposited money in the bank. Of these, 32,000 of them got their deposits back which leaves 11,000 more to get their money back. They are stuck, uncertain if they will ever reclaim their hard-earned savings.”

For depositors like Kavita Rao, who had deposited her life savings in the bank, the ordeal has been particularly agonising. “I worked tirelessly for years to build up my savings, only to see it vanish into thin air. It’s heartbreaking,” she said. Many other depositors have expressed their frustration as none of the government bodies have come to their aid. “Promises were made by both Congress and BJP, but till now none of the action has been taken,” Harish said.

The plight of these depositors has not gone unnoticed, with legal actions being pursued to get some relief. “We have filed a Public Interest Litigation (PIL) in Karnataka High Court and with that another case has been registered under Deposit Insurance and Credit Guarantee Corporation Act as well,” Harish said.

For many senior citizens, the fight for justice is filled with hurdles. "We are not in a position to protest on the streets. All we can do is hope and pray for a resolution," said Ramesh Kumar, a retired government employee who is yet to receive his savings.

While the decision to transfer the probe to Central Bureau of Investigation (CBI) offered a glimmer of hope, the absence of a designated investigation officer underscores the challenges ahead. —Salar News