Appraiser of private bank among three held for ₹1.5 crore gold loan fraud
Police in Peenya have arrested three individuals, including a bank appraiser, for orchestrating a ₹1.5 crore gold loan fraud. The group used fake accounts and imitation jewellery to secure loans, later attempting to cover their tracks by defrauding a businessman.
Why it matters
This incident highlights vulnerabilities in internal bank auditing processes and the risks of insider collusion in financial institutions.
The Peenya police have detained a gang of three, including the appraiser of a private bank, for allegedly defrauding the bank of nearly ₹1.5 crore by sanctioning gold loans against fake jewellery using bogus accounts.
The prime accused, along with his associate, allegedly colluded with the bank appraiser to run the racket.
According to the police, the accused conspired to create fake bank accounts in the names of acquaintances. The prime accused allegedly lured people into opening accounts by offering them money, claiming their jewellery would be pledged for loans.
He allegedly colluded with the appraiser, who was responsible for verifying pledged gold, and then certified imitation jewellery as genuine by exploiting his position. Based on his valuation, the bank sanctioned gold loans, enabling the accused to siphon off funds.
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