KANNUR: Disciplinary action has been taken against four following discovery of loan defaults in the CPM-ruled Co-operative Bank. The action is against the area committee members of the Kannur Iritty Kolithuttu Service Co-operative Bank Management Committee. This is for taking a loan of lakhs by using fake signature in the name of the dead. The bank is unable to return the money to the depositors.

With this, many investors turned against the bank. Balan, a carpenter and a heart patient had deposited Rs 8 lakh in the bank. He told the media that he came to know about the fraud when he came to withdraw the money. Thomas, David and others had deposited the money they got when retired from the army. There are many people who have been cheated like this. Meantime, even those who have invested a small amount are not getting any returns.

The co-operative department has found that irregularities of crores have taken place in the bank. It has also been found that gold was pawned in another bank and money was accepted. Frauds were done by organizing benami loans and taking loans in the name of the dead. Many people realized the scam after receiving the notice. With this, the investors have lodged a complaint with the Ulikkal police. The investors are planning to protest demanding action against the bank employees and management.