The bank officials said his loan application was rejected as it did not meet the credit criteria. Mulla has been arrested.
In a bizarre incident on Sunday (January 9), a man in Karnataka set a branch of Canara Bank on fire after it rejected his loan application.
The accused, identified as Wasim Hazaratsab Mulla, has been arrested. Mulla had submitted a loan application in the Hedugonda branch of Canara Bank in the Haveri district of Karnataka. The bank officials said it was rejected as he had a low CIBIL score.
CIBIL score is a number that checks the creditworthiness of the applicant. It is calculated based on the past credits availed by the person and how it was managed. If a person has availed loan in the past and has not been able to repay it, his/her creditworthiness goes down. Lending to a person with a low CIBIL score is considered a risky loan, and banks avoid lending to such a person.
Late Sunday night, Mulla reached the bank branch and broke open an office window. After spilling the petrol, he set it on fire.
After noticing the smoke, a passer-by alerted the police. The fire tenders reached the spot and doused the fire, but the office suffered damages to the tune of Rs 12 lakh.
The Kaginelli police station registered an FIR under the Indian Penal Code (IPC) Sections 436, 477, 435 against Mulla.