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Malkangiri Woman Bank Mitra Sentenced for Rs 18 Lakh Loan Fraud

A woman Bank Mitra in Malkangiri district has been sentenced to three years of rigorous imprisonment for defrauding villagers by promising subsidised loans and misappropriating deposits worth Rs 18 lakh.

Sarala Mandal, who worked at Utkal Grameen Bank in Motu, collected money from more than eight villagers in the Kalimela block during 2024. She assured them subsidised loans, but instead diverted the funds for personal use.

The victims lodged a complaint at Motu police station, leading to her arrest on March 18, 2024.

The case was heard by Judge Anshuman Dash at the Motu JMSC Court, where 18 witnesses testified. Based on the evidence, Mandal was sentenced to three years in prison and fined Rs 50,000. Failure to pay the fine will result in an additional three months of imprisonment.

Government lawyer Tapas Kumar Nath handled the prosecution. The verdict highlights the seriousness of financial fraud in rural banking services and serves as a warning against exploitation of vulnerable communities.