Trusted gold valuator foxes BOI

PANAJI: Much of the blame of Bank of India’s  gold loan frauds uncovered in over 72 loan accounts as of now, rests on the gold valuator Shanu Lotlikar on whose judgement the bank had implicit trust.

Prashant Naik, zonal manager, BOI, Goa, revealed on Monday that Lotlikar had been an empanelled valuator for the bank for the last 28 years.

“He was one of our oldest and most reputed appraiser on whose integrity we relied fully,”  Naik said, adding that in the light  of the gold loan frauds the bank will  look into all its gold loan accounts.

Moreover, the bank will also conduct a background check on other  valuators.

The bank has several valuators and uses the services of whichever valuator is available.

Stating that the bank has been  in the process of installing carat-meters to check the purity of gold, Naik said, “Carat-meters have been installed in North Goa branches, and in South Goa – except for the Margao branch – we have been in the process of installing it,” he said.

The bank is trying to peg the exact amount of the frauds. Initially the frauds came to light at Cuncolim, Velim and Chinchinim branches. But now, the frauds have also been discovered  at  Navelim and Utorda branches of the BOI.

Lotlikar was the valuator in all the five branches.

“The frauds were earlier thought to be close to Rs 68 lakh, but now the figure will be higher,” the zonal manager said,  pointing out  that  the borrowers who defrauded the bank in collusion with Lotlikar are  respected residents.

“Some of them are government servants owning homes. A few are walk-in customers, but the majority of them are regular members of society.”

The police are trying to ascertain whether Lotlikar is the brains behind the frauds or some other person is also involved.

Lotlikar certified fake gold as genuine and helped borrowers raise loans against the security of gold, Naik explained, reckoning  that the frauds of this magnitude carried out by over 70 customers is the first for the bank.

The bank has asked the ‘fraudster’ borrowers to repay the money if they want to avoid arrest.

It is learnt that a few of the borrowers in three BOI branches have repaid the sum.  The frauds took place between May 16, 2017 to July 5, 2018. The frauds

were  discovered when the loan account was overdue and notices were sent to the loanees for repayment which they failed to do so.  When the bank went to auction the gold ornaments it was brought to their notice that the gold was fake.