After IDFC First scam, Rs 160-crore FD fraud surfaces at Kotak Mahindra Bank in Haryana
A major banking fraud involving nearly Rs 160 crore has surfaced at Kotak Mahindra Bank in Haryana, barely a month after a massive fraud was reported at IDFC First Bank.
The Panchkula Municipal Corporation has discovered discrepancies in several Fixed Deposit Receipts (FDRs) issued by the bank, with officials alleging that funds deposited as fixed deposits were diverted into fraudulent accounts while the civic body was issued forged paper records.
Fraud uncovered during FD maturity request
The scam came to light when the Corporation requested the maturity proceeds of a Rs 58-crore fixed deposit to be transferred to its account. While bank records indicated that the transfer had been completed, the funds never reached the Corporation.
Subsequent checks revealed that the bank statement confirming the transfer was itself forged, raising suspicion of large-scale embezzlement.
Further scrutiny showed that the FDRs issued in this case were allegedly fake and that the funds linked to them were missing from the accounts.
Officials suspect involvement of insiders
According to Vinay Kumar, the discrepancy surfaced only when the Corporation sought transfer of funds after the maturity of one of the deposits.
“Some of the FDRs had been with the Panchkula branch for a long time. The discrepancy was found only when the bank was asked to transfer funds upon maturity of one FDR,” Kumar told PTI.
Further inquiries revealed similar irregularities in multiple FDRs, taking the total amount involved to around Rs 160 crore.
Authorities suspect the possible involvement of certain Municipal Corporation officials along with bank employees in the alleged fraud.
FIR filed, vigilance probe underway
The matter has been reported to the Haryana State Vigilance Bureau, and the Municipal Corporation has filed an FIR against the bank. It has also urged the Haryana government to de-empanel the lender.
Meanwhile, Nayab Singh Saini has ordered an investigation into the incident.
Bank says reconciliation underway
In a statement, Kotak Mahindra Bank said it has begun a detailed reconciliation of the fixed deposits and related accounts maintained by the Municipal Corporation.
The bank stated that its preliminary review indicates that account opening procedures, KYC documentation and authorised signatories were in order, and that transactions were processed in line with applicable banking norms.
It added that a significant portion of the funds under review has already been reconciled with the Municipal Corporation, and the verification process is ongoing.
The bank has also filed a complaint with the Panchkula Police and said it is cooperating with authorities.
Similar fraud reported recently
The development comes weeks after a Rs 590-crore fraud surfaced at a branch of IDFC First Bank in Chandigarh involving government-linked accounts.
In that case, the bank attributed the fraud to unauthorised actions by branch employees and reportedly reimbursed the entire amount to the government.
For all the latest updates, download PGurus App.
