The main legal point established in the judgment is the court's reliance on evidence to prove forgery, fabrication of documents, and impersonation in obtaining a loan, and the impact of the settlement of the loan amount on the sentencing of the accused.

1. These appeals are arising out of conviction against the appellants passed by the learned XI Additional Judge for CBI Cases, Chennai dated 19.05.2009 in C.C.No.66 of 2004.

2. Brief facts of the prosecution case is as follows:

Based on the complaint dated 19.07.2002 given by one Shri Sudhakar N.Bhat, Assistant General Manager, Corporation Bank, Zonal Office, Tamil Nadu, CBI has registered a case under R.C.MA1 2002 A 0030, dated 19.07.2002 against (1) J.S. Prabhu[A1], (2) Shri.V.Palanivel[A2], (3)Shri. Gunasekaran and other unknown public servants and private individuals for the offence of conspiring to cheat the Corporation Bank by sanctioning the loan to fictitious firm, which is not in existence. Pursuant to the said conspiracy, an application for loan annexed with forged revenue documents like, patta, chitta, adangal, kist receipts, house tax receipts and fake encumbrance certificate submitted to the Bank. Based on those documents, A1[J.S.Prabhu] being Manager of the Bank has sanctioned loan and allowed the borrower to withdraw the money immediately for purpose other than for which the loan was sanctioned under CORP VYAPAR Loan Scheme. The trial Court has taken cognizance of the final reports in C.C.Nos.61 to 66 of 2004 and tried the appellants. These appeals arise out of judgment passed in C.C.No.66 of 2004 by the Special Court for CBI Cases, Chennai.

3. The specific case of the prosecution in these appeals is that one Mr. Murugesan, Proprietor of M/s Saravana Lathe Works had applied for loan of Rs.3 lakhs to purchase new raw materials for manufacturing auto mobile spares. In the said application, he has shown one Kanniappan as guarantor who has signed in this application agreeing to offer his property at Kizmudhachambedu village as security. Along with this application, Mr.Murugesan has furnished title deed of property bearing S.No.390/8 of Gummidipoondi Taluk, chitta, adangal and encumbrance certificate in respect of the said property offered as collateral security. After sanctioning the loan, money of Rs.3 lakhs had been deposited into the account opened in the name of M/s Saravana Lathe Works. Later, the chitta, adangal and encumbrance certificate in respect of the property given as collateral security were found to be fabricated and false documents. The valuation certificate had been issued by T.N. Ravi[A6] as if the property given as collateral security consisting of land and building. In fact, it is only a vacant land. The money credited into the account of M/s Saravana Lathe Works had been withdrawn immediately through blank cheques signed by Murugesan and handed over to A2[Palanivel], who has filled up the cheques and siphoned the money.

4. Further, the investigation has brought to light that there is no such address bearing Door No.80, GST Road, Tambaram, Sanatorium, Chennai and there is no firm by name M/s Saravana Lathe Works. Thus, for non-existing firm based on forged documents, impersonating Kanniappan as guarantor. The title deed and other documents were obtained by Gunasekaran[A3] from Kanniappan on a false representation that he will arrange loans to Kanniappan. By misappropriating those documents forged deed of security and deposit of title deeds in the name of Kanniappan were created by Rathnavel[A4]. Making use of the forged documents as genuine the loan application was made and based on the fabricated records, the loan of rs.3 lakhs has been obtained. After sanctioning the loan, a portion of the money has been fraudulently transferred to the account of Sri Hari Agencies at Tamil Nadu Mercantile Bank, Tambaram Branch opened by A2[Palanivel] with the introduction of one Thirumoorthy, A2[Palanivel] had impersonated himself as Ramasamy and Kannan and withdrawn the remaining money deposited in the account of M/s Saravana Lathe Works through cheques signed by Murugesan[A5]. The loan amount of R