Bengaluru: Six persons including four bank officials have been convicted by a CBI court on Monday in connection with a fraud case.

M S Seetaram Rao (assistant general manager), M S Suryanarayana Rao (chief manager), T R Subba Ramu (manager) and K Parthasarathy (deputy manager), all former State Bank of Mysore employees are the convicted. M S A Aleem and Anuradha, former chairman and director of City-based silk export company –  Flora International Ltd were also convicted.

The accused have been convicted for offences under IPC sections 120 (b), 420, and 471 by the 21st Special Judge for CBI cases B K Naik. All the accused have been sentenced to undergo rigorous imprisonment for three years and also slapped a fine of Rs 1 lakh each. The court also ordered the company to pay a fine of Rs 12 lakh.

According to sources, the bank officials had colluded with the directors of Flora International and cheated the bank of Rs 2.02 crore. The bank officials had dishonestly released various credit facilities to Flora International against the undrawn balance of $70,000 under the letter of credit of Industrial and Commercial Bank of China. The company had already availed packing credit facility from Andhra Bank’s NR Road branch and Indian Overseas Bank’s Residency Road branch in the City on the same letter of credit. The company directors made a wrongful profit when the bank suffered a financial loss of Rs 2.02 crore in the transaction.

The CBI had registered a case against the accused and filed the chargesheet in September 2002.