A shocking case of financial fraud has come to light in Dhariyavad, Pratapgarh district, where 15 employees of ICICI Bank, including the branch manager, colluded to embezzle a staggering amount of Rs 2 crore. This elaborate scheme was orchestrated to meet the bank’s targets, as everyone involved opened fake fixed deposit (FD) accounts and transferred funds from the accounts of unsuspecting customers.
The incident first came to public attention on February 5 when Rs 32 lakh went missing from a customer’s account. Subsequently, branch manager Prashant Kabra (36) was apprehended on February 6, followed by the arrest of bank staff members and Udaipur businessman Jalam Chand (65) on February 9. The police have initiated investigations and are interrogating the accused.
During a press conference, SP Amit Kumar revealed that the case was registered by ICICI Bank’s Regional Head, Manoj Beharani, after discovering the missing funds. The police are gathering information on other bank staff involved in the fraudulent activities. SP Amit Kumar further explained that the bank officials at the Dhariyavad branch illicitly opened new accounts by withdrawing money from existing FD accounts without authorization. The main accused in this intricate fraud case is bank manager Manoj Kabra.
SP Amit Kumar formed a Special Investigation Team (SIT) to delve into the financial fraud case on February 7. Within two days of investigation, it was discovered that several high-ranking bank officials were opening fake accounts by siphoning funds from the FD accounts of unsuspecting customers through overdrafts (OD). This deceitful practice allowed the officials to achieve their targets.
During questioning, the branch manager revealed that the bank officials imposed immense pressure by setting daily targets for new savings accounts, current accounts, FDs, as well as loans and insurance. The SIT scrutinized bank accounts with joint transactions, leading to the revelation that the bank manager had inputted incorrect mobile numbers for many account holders. Consequently, customers remained unaware of the transactions occurring within their accounts.
The Dhariyavad police are diligently investigating the case. As of now, a total of 62 bank accounts, in which the embezzled amount was deposited, have been frozen, with a sum of Rs 62,71,490 being put on hold. Thus far, a total of Rs 1,08,71,490 has been seized in connection with the fraud.
A victim of the scam, Bhupet Roat, shared his experience, stating that on February 5, he was informed by an acquaintance that he had over Rs 2 lakh in his Kisan Credit Card (KCC) account until Sunday. However, when he went to withdraw the money on Monday, he discovered that his account balance was zero. Suspicious of foul play, Roat visited the bank at 7 pm on Monday and realized that the Rs 32 lakh in his KCC account had vanished. When he confronted manager Prashant Kabra, he received no response. Roat alleges that Prashant Kabra has embezzled an estimated Rs 5 to 7 crores.
Additionally, Udaipur businessman Jalam Chand was arrested in connection with the case. Investigations revealed that Chand became aware of the bank’s fraudulent activities and managed to retrieve his own funds by threatening bank manager Manoj Kabra. As a result, Chand received around Rs 1.5 lakh as hush money. Moreover, the businessman had also obtained Rs 62 lakh from the bank for purchasing a plot, which has since been seized as part of the ongoing investigation.
This is a practice now in all banks wheather public sector or private for obtaing more and more business of mutual fund, insurance, FD and other financial instruments.Senior abd top management is responsible for undue pressure on bank staff to procure more business otherwise their job is at risk.RBI is doing nothing but merely warning banks against malpractice.This is very serious issue resulting in loss of money of innocent customer and loss of job also of many employees officers of bank
The beauty is that Branch managers/RMs are not only putting pressure on staffs but also on other stake holders like, RBI, police, vigilance and they ensure no one should sit idle. They are master in making others work.
Yes, you are right. In most of the Bank.They are giving unrealistic targets. And giving pressure And by this only most of the time misleads to fraud. If its not achieved also pressure goes to staff and further they will give misdacademic transfers. Management is thinking, they are all above God.
RBI and Finance Ministries should interfere in this regards and warn all the management for fixing unrealistic targets and giving pressure to Employees and misleading them.
And open a department for whistle blowing this type of issue and also safeguard the employee and public.
In every private bank for achieve sales target( presured from mid and high management), sales team do unethical practice. Because they need to survive/protect from abbusive meeting of senior. Everybody know it regulator authority never tried or will try curve this mulpractice stoping sales pressure of management
So this should continue and increased day by day.
Thanks for exposing such fraudulent banking practices…RBI has a role to play in this…this particular case must be taken as example for a thorough investigation and corrective action to prevent future frauds
Online monitoring cell of banks IT department, must have observed this and prevented, by initiating early action. Also imposing impractical targets is harassment to staff by management
Situation is very worst in nationalized banks, just to please finance ministry and for promotions, top management is screwing branch managers and getting things done. Finally the scape goat is managers and not RMs, DGMs, GMs, CGMs, MD etc.,
High tym for RBI to intervene in these matter and come up with rapid solutions so tat both bank employees and customers are in safe zone
देश के सभी राष्ट्रीयकृत बैंकों एवम एसबीआई में भी क्रॉस सेलिंग म्यूचुअल फंड लाइफ पॉलिसी बेचने का बहुत दबाव है
जिसके चलते भोले भाले बैंक ग्राहक जो बैंक में एफडी करने आते है उनकी SBILIFE पॉलिसी या म्यूचुअल फंड कार दिया जाता है, टारगेट पूरा करनेबके दबाव में
जब कोई मामला उजागर होता है तो उच्च प्रबंधन पल्ला झाड़ लिया है और अपने आप को पाक साफ घोषित करने की कोशिश करते है तथा बैंक शाखा प्रबंधक और छोटे कर्मचारियों के खिलाफ कार्यवाही शुरू की जाती है
यही हाल प्राइवेट सेक्टर के बैंको का भी है
आर बी आई का इस प्रकार की जबरिया क्रॉस सेलिंग की प्रथा की रोकथाम का कोई नियंत्रण नहीं है
आर बी आई मुकदर्शी है
Bank employees caught in the spidernet of targets…harrasment from higher authorities,loosing their job ethics by this poor customers loosing service, banking industry is service oriented but now a days it’s like business spot… Reserve Bank of India must look in to this seriously… Banks must be pure banking not insurance,share markets etc.,save bankers save customers.
This is the mindset of most of the Bank Employees
बैंकों (सरकारी हो या निजी बैंक) के उच्च स्तरीय अधिकारियों की सीधी जवाबदेही तय की जानी चाहिए. ब्रांच मैनेजर बैंकिंग सिस्टम का सबसे पीड़ित कर्मचारी बनकर रह गया है. उच्च पदस्थ लोग खुद कुछ नहीं करते परंतु ब्रांच मैनेजर से सब कुछ करवाके खुद प्रमोशन लेना चाहते हैं.
आर बी आई भारत में केवल नाम का “नियामक” संस्थान बनकर रह गया है.
High time to RBI for intervening in the matter as it is now practice almost all the banks irrespective of private or public sector.
Remove target system from corporates. It will destroy many life
It’s high time, regulatory body steps in!!!! The amount of pressure, officials have to go thru for sales and acquisition with steep targets is inhumane! Growth is paramount, but there should be a framework in which humanity isn’t compromised.
Only remedy for banks are to avoid unexpected business plan at top level to satisfy management or ministry. Never expect a growth in banks more than 10% you.If any bank is showing higher figures,this may be by pressure or doing unethical practices. Allow banks to do their main business and not selling or canvassing other products.
It is high time banks management stop treating branched as sales kiosk and treat them as bank branches where staff own customers, whether they are depositors or borrowers. They should get the branches involved in appraisal of loans instead of treating them as pass through conduits for loan applications
Then you will be able to see some bankers in future. Today we are left with sales guys
Save Bankers… Banks are not insurance companies.. Blame on the Regional Head and higher officials
It’s time for RBI to intervene and stop banks from being service based industry to sheer sales companies, because none of the employees willing does something like this unless he is pressurized to achieve the unbeatable targets imposed allegedly by the higher authorities of that particular bank and as the employee needs to save his/her job they find different ways and unethical practices to meet the targets because they even have their families to look after… and because of all this chaos it’s the customer who suffers and the staff even while the higher level management sits back and enjoys the Gameshow.
Irdai and sebi remove permission to sell insurance and investment products to safeguard interest of bank account holders and to protect money and to stop this looting.let sell insurance ireal ntermediaries to sell insurance and to licenced mutual fund distributors to sell mutual funds .
I have worked with India’s top two pvt banks, have felt banking interesting industry least month due to un bearable pressure from reporting authorities and regular humiliation. Unrealistic targets are set. I have left it without any job in hand as i never wanted to be part of unethical culture.
Pressure the front line staff. Squeeze them. Strangle them.Threaten them.Transfer them. Thees are the inhuman tactics by Management to get their promotion growth…
Provide wonderful transparent service. Business flows…Do any business…No force is required if your product is good… service is good… Target can be achieved…… automatically…
Agony of Bank officer endless
RBI make a incognito visits to bank branches… you will know the facts ..
With the digital banking availability, forgot password followed by OTP to registered phone number, the bank staff should not have access to any account to manipulate the phone numbers and create such fraudulent transactions. It is high time RBI regulates operations in bank accounts. Setting targets and rewarding performers is actually a bad precedent. PARs submitted by the staff every year, should be the yardstick to assess performance of bank staff.
Target is a dangerous word.I know a youth whose performance was hailed by RM,ZM and awarded a no prizes in one patricular year was forced to leave in next year because he failed to reach target.GOVT OF INDIA,RBI,BANK MANAGEMENT should not create pressure for reaching target.
All such mal practices,scams,missellings are common in pvt sector banks,but even then people get trap in their false charm and forget these scams after some time
it should be regional manager who should be arrested for this targets
Targets are fixed unrealistically . Banks grow at 10 to 12 % average . Rural and semi urban branches have no enormous potential for low cost deposits and other products. Exerting pressure on such branches for unrealistic targets tend these staff to take unethical routes for face saving in the Bank . While monitoring new bussiness sourcing the professionalism should move towards service and bussiness growth rather than targets and commissions for mobilizing bussiness.
Banking services specially in pvt sectors Bank’s are in worst condition, unrealistic targets to sale the products are so high and it create lots of health issue as well as mental issue for the youngsters. In this case higher authority is completely responsible hence they should also arrest.
The target pressure is not only restricted to Pvt. Sector Banks but also in Public Sector Banks as well.
The RMs, ZMs fixes unrealistic targets and now bank branches become sales offices of Insurance and MF and they give list importance to banking services.
Every officer is under tremendous pressure due to targets and RMs/ ZMs gets promoted at the cost of the branch officials.
It is better not tell about branch manager’s work pressures as the demand from Management side as well as from customers front and his position is like a sandwich.
It’s a curse to be a Br Manager.
Many manager’s were ended their lives due to work and targets.
In my opinion, the most probably, the hardest job in the country is bank job with little compensation.
Even the pension is not there for the employees who joined after 2010 and the existing pensioner’s pension is not revised over a decade.
There is no attraction in bank jobs after 2000 either in service conditions or in salary compensation.
Govt, RBI and other agencies shall look into the Banking Industry’s issues and come out with practice solutions before it go out of hand.
Nowadays, this is the mindset of most of the Bank Employees. Earlier it is a professional job liked by self and public..Now it is neither liked by Employee nor public