Police in Kerala’s Kochi have arrested a 44-year-old gold appraiser in connection with an alleged loan fraud at a cooperative society. The accused allegedly misused his official position to create records showing that gold had been pledged with the society even though the gold was allegedly never deposited. Loans were subsequently issued on the basis of these purportedly false pledge entries, causing an estimated financial loss of around ₹89 lakh to the society.
Njarackal police arrested Anoop C.J., a resident of Malippuram in Elamkunnapuzha, on Sunday, August 16. Anoop was employed as a gold appraiser at the Karuthedam Rural Service Cooperative Society. His responsibilities included the assessment of gold and related documentation. According to police, he allegedly exploited this position to create false pledge entries and facilitate loans against gold that was not actually available as collateral.
The preliminary investigation found that records maintained by the society showed 1,565.9 grams of gold as having been pledged between January 2014 and June 2024. Investigators suspect that the gold recorded in these transactions was not physically present with the society. Despite the alleged absence of the collateral, loans were reportedly issued against the entries. Police are now investigating who received the loan amounts and how the funds were subsequently used.
The initial assessment indicates that the alleged fraud resulted in a financial loss of approximately ₹89 lakh. The exact amount involved and the number of loans allegedly issued through fraudulent entries will become clearer after the completion of the investigation. Police are examining old loan accounts and pledge records to identify individual transactions where irregularities may have occurred.
Investigators are also examining the accused’s other financial dealings. Police are trying to determine whether the alleged irregularities were restricted to gold loans or whether the accused may have misused his position in other financial transactions as well. Bank accounts linked to the accused, loan documents, gold valuation records and other relevant documents maintained by the cooperative society are being examined as part of the investigation.
The alleged fraud covers a period of nearly a decade, making the examination of historical records a significant part of the investigation. Police may scrutinise all relevant pledge transactions recorded between January 2014 and June 2024. Investigators will seek to verify whether the gold mentioned in the records was actually deposited with the society. They are also expected to examine the loan approval process, disbursement of funds and subsequent repayment records.
Another key aspect of the investigation is how the alleged fraudulent entries were created and remained in the society’s records. Police are trying to establish whether Anoop acted alone in preparing the records and facilitating the loans or whether other employees or individuals may have assisted him. If evidence establishes the involvement of additional people, further legal action could follow.
Statements from officials and employees of the cooperative society may also be recorded during the investigation. Their accounts could help investigators understand how the responsibilities of the gold appraiser were supervised and how the alleged false pledge entries remained undetected for an extended period. Police are also examining the accounts to which the loan proceeds were transferred.
Following Anoop’s arrest, the investigation has been intensified. The allegations against him remain subject to investigation and judicial proceedings. Police are working to establish the complete chain of events through documentary evidence, financial transactions and other material linked to the alleged ₹89 lakh fraud. Further action will be taken on the basis of evidence gathered during the investigation.
