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Bank Employee Arrested in ₹8.37 Crore Currency Chest Fraud

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A major banking fraud has emerged from Ahmedabad after an employee posted at an ICICI Bank branch in Navrangpura was arrested for allegedly siphoning nearly ₹8.37 crore from an RBI-linked currency chest over an extended period.

The case was uncovered during a surprise internal audit conducted jointly by the bank and monitoring teams associated with the Reserve Bank of India, triggering a wider investigation into possible internal control failures and financial misconduct.

Audit Reveals Massive Cash Mismatch

According to investigators, the accused employee—identified as Harsiddh Kadiyar—was responsible for managing currency chest operations, including cash handling, record maintenance, and financial reconciliation at the branch.

During the audit, officials reportedly discovered a mismatch of approximately ₹8.37 crore between the physical cash available and the figures recorded in official banking systems.

The discrepancy immediately prompted internal escalation, followed by police involvement and a formal criminal investigation.

Alleged Long-Term Manipulation of Records

Preliminary findings suggest the accused may have carried out the fraud gradually by withdrawing small amounts of cash from daily deposits over time, making the shortage difficult to detect during routine checks.

Investigators believe the employee allegedly used multiple methods to conceal the missing funds, including:

  • Manipulation of digital accounting records
  • Alteration of physical cash registers
  • Fabrication of internal financial entries

Authorities suspect the scheme continued for months before being detected during the audit process.

Luxury Assets and Financial Trail Under Scrutiny

One of the key aspects of the investigation is the alleged sudden increase in the accused’s personal wealth and lifestyle changes.

Probe agencies claim that portions of the allegedly diverted funds were used to acquire high-value assets, including:

  • A bungalow worth around ₹2 crore in Ahmedabad
  • A commercial property valued at nearly ₹1 crore
  • Luxury vehicles and high-end consumer goods

Investigators are now examining property documents, bank accounts, and financial transactions to trace the complete flow of funds and identify additional assets linked to the accused.

Investigation Into Possible Insider Network

Authorities are also investigating whether the accused acted alone or whether other bank employees or external associates were involved in the fraud.

As part of the probe, agencies are reviewing:

  • CCTV footage from the branch
  • Digital transaction logs
  • Audit and reconciliation records
  • Internal system access data

Officials are also assessing whether gaps in monitoring systems or delayed audits contributed to the prolonged concealment of the alleged fraud.

Experts Call for Stronger Banking Controls

Cybercrime and financial security experts say the case reflects a broader trend of increasingly sophisticated insider fraud in banking institutions.

Experts emphasize the need for:

  • Real-time transaction monitoring systems
  • AI-based fraud detection tools
  • Stronger access control mechanisms
  • Multi-layer audit frameworks
  • Faster anomaly detection systems

They warn that institutions handling large cash volumes, such as currency chests, remain particularly vulnerable without robust internal safeguards.

Broader Financial Investigation Underway

Investigating agencies have begun tracking all movable and immovable assets linked to the accused, including bank accounts and investment records.

Officials indicated that further action—such as asset attachment and deeper forensic financial analysis—may follow depending on the findings of the ongoing investigation.

Conclusion

The ₹8.37 crore currency chest fraud in Ahmedabad highlights serious concerns over internal banking security and oversight mechanisms. As investigators continue to trace the financial trail, authorities aim to determine the full extent of the alleged scam and whether additional individuals were involved.

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Delhi Police Arrest Three in Sextortion Cyber Fraud Case

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The Cyber Cell of Delhi Police has arrested three men for allegedly running a sextortion-based cyber fraud operation that targeted a Delhi resident and extorted nearly ₹5.80 lakh through threats and blackmail.

The accused, identified as Rajesh (18), Kunal (22), and Imran (23), are residents of Faridabad, Haryana. Police said the arrests were made during an investigation into an online blackmail case registered at the Cyber Police Station of Delhi’s North-East district.

Victim Allegedly Blackmailed After Video Call

According to police, the case was registered through e-FIR No. 00126/2026 under relevant provisions of the Bharatiya Nyaya Sanhita (BNS), including sections related to cheating, extortion, and identity-related offences.

The investigation began after the complainant, identified as K.L. Tripathi, approached police alleging that he was trapped in a sextortion scam.

Police said the victim received a WhatsApp video call on May 6 from an unknown woman who allegedly claimed to be a social media acquaintance. During the conversation, the woman reportedly convinced him to remove his clothes, after which an objectionable video was allegedly recorded without his consent.

Soon afterward, the victim allegedly received calls from multiple unknown numbers. The callers claimed to represent law enforcement agencies, social media platforms, and government departments, threatening to make the video public and take legal action unless money was paid.

Under pressure and fear, the victim transferred approximately ₹5.80 lakh through multiple bank accounts, UPI transactions, and QR codes, police said.

Financial Trail Helped Investigators Identify Accused

Following the complaint, Delhi Police formed a specialized cyber investigation team to examine digital evidence and trace the movement of funds.

During the probe, investigators tracked portions of the transferred money to bank accounts allegedly linked to Rajesh and Kunal.

Rajesh was arrested on June 17 after police analysis of financial records. Further investigation and questioning reportedly helped officers identify Kunal’s role, leading to his arrest.

Police later identified Imran as another alleged participant in the operation. Investigators claimed he was involved in withdrawing the fraud proceeds through ATMs. A mobile phone and SIM card allegedly connected to the crime were recovered from him.

Possible Links to Larger Sextortion Network Under Investigation

During questioning, the accused allegedly revealed links with an organized sextortion network operating in the Mewat region of Rajasthan, according to police officials.

Authorities are now investigating whether other individuals were involved in the alleged network and whether the accused may have targeted additional victims using a similar method.

Police said no previous criminal cases have been found against the three arrested individuals so far. However, their digital activity, financial records, and possible connections to other cybercrime incidents are being examined.

Police Issue Cyber Safety Advisory

Delhi Police has advised citizens to remain cautious while accepting video calls from unknown individuals, especially those involving suspicious requests or attempts to record private conversations.

Officials urged people facing online blackmail or threats involving personal images and videos to immediately report the matter to law enforcement agencies instead of making payments to fraudsters.

The investigation is ongoing, and police are working to identify other possible members of the alleged cybercrime network.

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Mumbai ATM Cash-Trapping Scam Busted: Three Arrested in Bhandup

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Mumbai Police have uncovered an ATM cash-trapping fraud in Bhandup, where a gang allegedly used a plastic strip to prevent cash from being dispensed and later collected the trapped money.

Police have arrested three people in connection with the case, including the alleged main accused and two women suspected of assisting in the operation.

The investigation began after several ATM users reported that money had been deducted from their bank accounts, but cash was not received from the machine.

Bank Complaint Leads to Investigation

The case was registered after a complaint from a 37-year-old branch manager of Bank of Baroda in Bhandup.

According to police, the bank’s ATM at Sachdev Complex received multiple complaints from customers who experienced failed cash withdrawals despite successful debit transactions.

Following the complaints, Bhandup Police registered a case under relevant sections of the Bharatiya Nyaya Sanhita (BNS) and launched an investigation to identify those responsible.

CCTV Footage Exposes Fraud Technique

During the investigation, police reviewed CCTV recordings from the ATM location and allegedly identified the method used by the suspects.

Investigators said the accused inserted a thin grey plastic strip into the ATM’s cash outlet before customers attempted withdrawals.

Because of the obstruction, the currency notes reportedly remained stuck inside the dispenser instead of being released. Customers, assuming the machine had malfunctioned, allegedly left the ATM without receiving money.

Police said the accused would then return after the customer left and remove the trapped cash.

The CCTV footage reportedly helped investigators identify the movements of the suspects and understand their alleged roles in the fraud.

Alleged Mastermind Arrested, Items Recovered

Based on technical evidence and CCTV analysis, police arrested 21-year-old Mohammad Ziyad alias Ayan Irshad Ahmed, who has been identified as the alleged mastermind behind the operation.

During further investigation, police also identified two women allegedly connected with the case — 45-year-old Arifa Azeem Dukandar and 24-year-old Namira Azeem Dukandar.

Police said notices have been issued to both women under Section 35(3) of the Bharatiya Nagarik Suraksha Sanhita (BNSS) while the investigation continues.

Authorities have recovered property worth approximately ₹1.29 lakh, including a motorcycle valued at around ₹80,000, a mobile phone, cash of ₹39,500, and the plastic strip allegedly used in the ATM fraud.

Police Warn ATM Users Against Cash-Trapping Scams

Mumbai Police have advised citizens to remain alert while conducting ATM transactions and immediately report suspicious situations.

Customers have been advised to:

  • Confirm that cash has actually been received after completing a withdrawal.
  • Contact their bank immediately if money is deducted but cash is not dispensed.
  • Avoid accepting help from unknown persons near ATMs.
  • Report damaged or suspicious ATM machines to authorities.

Officials said the investigation is ongoing to determine whether the arrested individuals were involved in similar fraud cases at other ATM locations.

Police are also examining whether additional members may be linked to the alleged network.

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Kanpur Police Arrest 35 in ₹30 Crore Mule Account Crackdown

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Kanpur Commissionerate Police have arrested 35 individuals allegedly involved in operating mule bank accounts that investigators claim were used to facilitate cyber fraud worth nearly ₹30 crore. The action was carried out as part of the city’s ongoing Operation Cy-Vajra, a campaign targeting organised cybercrime and financial fraud.

According to police, the accused allegedly allowed cybercriminals to use their bank accounts in return for commissions, enabling the movement of funds generated through various online scams.

Nearly 100 Complaints Linked to the Accounts

Deputy Commissioner of Police (West) S.M. Qasim Abidi said investigators traced the accounts after examining complaints registered on the National Cyber Crime Reporting Portal (NCRP). Officials found that almost 100 cybercrime complaints were connected to the accounts under investigation, with the total financial loss estimated at approximately ₹30 crore.

During questioning, police allege that the accused admitted to handing over access to their bank accounts in exchange for financial incentives. Investigators claim they provided ATM cards, cheque books, internet banking credentials, and other banking details to individuals linked to cyber fraud operations.

Authorities believe the accounts were primarily used to transfer and conceal money generated through online investment scams, betting platforms, and gaming-related fraud.

Investigation Moves Beyond Account Holders

Police described the arrested individuals as the first layer of the alleged money-laundering chain. Investigators are now focused on identifying the organisers and operators who controlled the accounts and tracing how the money was moved after entering the banking system.

Officials are also verifying the identities of those who collected banking credentials from the account holders. Police expect additional arrests as the investigation expands to uncover the broader criminal network behind the transactions.

The Cyber Cell registered cases and conducted arrests across ten police station areas, including Shivrajpur, Armapur, Bilhaur, Panki, Sachendi, Araul, Kalyanpur, Rawatpur, Chaubepur, and Bithoor.

DCP Abidi warned that sharing bank account details or allowing unknown individuals to operate personal banking facilities is a criminal offence and can result in legal action.

Continued Crackdown on Financial Cybercrime

The latest operation is part of Kanpur Police’s intensified efforts against mule account networks throughout 2026. In recent months, investigators have uncovered several cyber fraud operations involving bank accounts allegedly used to move illicit funds generated through online scams.

Cybersecurity experts say mule accounts remain a key tool for organised cybercriminals because they help disguise the movement of illegally obtained money and complicate financial investigations. By routing funds through multiple accounts, criminal networks attempt to make it more difficult for authorities to identify the individuals responsible.

Legal experts also note that while knowingly allowing a bank account to be used for unlawful financial transactions may attract criminal liability, the arrests represent allegations at this stage. Under Indian law, all accused individuals are presumed innocent unless proven guilty in a court of law.

Police confirmed that forensic examination of banking records, digital evidence, and financial transactions is continuing as investigators work to identify additional suspects and dismantle the wider cybercrime network.

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