A CBI Court in Ahmedabad has convicted and sentenced two people in a bank fraud case involving the Indian Overseas Bank (IOB). The judgment was delivered on 17 July 2026. The convicted persons are Neeraj Kumar Jain, the then Branch Manager of Indian Overseas Bank, Himmatnagar, Gujarat, and Ketan Kumar Mohanlal Patel, a private individual.
The court sentenced both accused to three years of rigorous imprisonment. Neeraj Kumar Jain was fined ₹2.60 lakh, while Ketan Kumar Mohanlal Patel was fined ₹1.10 crore, making the total fine ₹1.126 crore.
How the Fraud Took Place
The CBI registered the case on 8 May 2014 against the former branch manager and 15 private individuals. According to the investigation, between October 2012 and September 2013, the accused worked together to cheat Indian Overseas Bank of around ₹2.60 crore.
The fraud was carried out by submitting forged documents to obtain agricultural term loans for greenhouse projects. The loans were sanctioned and disbursed based on fake documents, causing financial loss to the bank and illegal financial gain to the accused.
Investigation Findings
During the investigation, the CBI found that Neeraj Kumar Jain had approved and disbursed 14 agricultural term loans for greenhouse projects. It was also found that Nilesh Dayabhai Patel and Ketan Kumar Mohanlal Patel applied for loans in the names of their relatives and other known persons.
The investigation revealed that Nilesh Dayabhai Patel obtained two loans, while Ketan Kumar Mohanlal Patel obtained twelve loans. Each loan was sanctioned for ₹19 lakh, resulting in a significant loss to the bank.
Chargesheet Filed by CBI
After completing the investigation, the CBI filed a chargesheet on 24 December 2014 against former Branch Manager Neeraj Kumar Jain and three private individuals. These included Nilesh Dayabhai Patel, Ketan Kumar Mohanlal Patel, and Avinash Yashwantkumar Patel, who were associated with different business firms in Gujarat.
Court’s Final Decision
After examining the evidence and completing the trial, the CBI Court convicted Neeraj Kumar Jain and Ketan Kumar Mohanlal Patel and awarded them three years of rigorous imprisonment along with the fines imposed.
The court, however, acquitted Avinash Yashwantkumar Patel after finding that the charges against him could not be proved. The trial against Nilesh Dayabhai Patel has been separated because he is currently absconding.
