Former RBC Manager Accused Of Running A $10.5M Bank Loan Scheme In Toronto

A former RBC business manager has been charged along with three other people in the GTA for their alleged involvement in a $10.5 million fraudulent loan scheme.

The Serious Fraud Office for Ontario (SFO) laid the charges "following a lengthy investigation" into the multi-million dollar loan scam, according to a news release posted on April 22.

SFO reportedly narrowed in on the former RBC employee who had "specific knowledge of a Government of Canada supported loan program," at the beginning of January 2021, who police believe orchestrated the alleged scheme.

According to police, the former employee recruited other associates to help them attract unknowing clients to apply for Government Guaranteed loans. The loan program "was offered by all Canadian banks to assist small businesses with business or leasehold improvement loans," the release stated.

However, the bank documents used to secure the loans, such as lease agreements and invoices, were allegedly faked in order to ensure their approval.

Once the loans were approved, the money was allegedly distributed amongst several vendors who were "directly associated" with the former RBC employee.

The money from the loans totalled approximately $10.5 million, and the borrowers only received a "small portion" of the money, whereas the vendors reportedly received most of the funds "for work that was never completed."

The former RBC employee was originally charged with Fraud Over $5,000 and Utter Forged Document, although the charges were dropped in March 2023. Aggash Mohan, Nicksain Kalaimathian, and Jonnystan Amirtharatnam from Scarborough have all been charged with Fraud over $5,000

The four accused are set to appear at the Ontario Court of Justice court in Toronto on May 31, 2022.

UPDATE: The charges against the RBC employee were withdrawn in March 2023.