CHENNAI: Three men who took gold loans by submitting gold-painted jewels and received Rs 2.53 crores in Kancheepuram were arrested by the police.

Recently the Indian Bank's higher officials were rechecking the jewellery which was submitted to the bank for gold loans last year. The officers grew suspicious of the jewels which were submitted in the Karapet branch, Kammavarpalayam branch and Sangaramadam branch in Kancheepuram and all the jewels were submitted in the span between May to December last year.

The officers when checking the ornaments found it was not gold and just painted in gold colour.

Later the Regional manager filed a complaint with the Kancheepuram crime branch police.

The police detained the persons who kept the gold in the bank and during the inquiry they found that a group used to paint the covering jewels and approach the bank for loans with the help of friends and relatives who already had accounts in the bank and had managed to cheat over 2.5 crores from the three branches.

The police arrested Mehanadan (35) of Ranipet, Prakash (38) and Surendra Kumar (38) of Kancheepuram and further investigation is on.

The Crime Branch police are also searching for Rajesh, Saravanan and a few others who are missing.