Hyderabad: The CBI has arrested two senior State Bank of India (SBI) officials for misappropriating funds of around Rs 12.40 lakh by violating the RBI guidelines imposed during demonetisation, an official said on Wednesday.

Senior Special Assistant M. Sultan Mohiuddin and Deputy Manager (Operations) I.J. Raja Sekhar, employed at SBI's Buchireddypalem branch in Andhra Pradesh's Nellore district, were held during a raid conducted at their official and residential premises on Tuesday.