Main Accused in ₹122 Crore New India Cooperative Bank Scam Arrested in Mumbai
Formfees
18/03/2025
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Mumbai: In a major breakthrough, Mumbai police have arrested Rakesh Sharma, the alleged mastermind behind the ₹122 crore scam at the New India Cooperative Bank. Sharma was apprehended from his hideout in Andheri, Mumbai, after a weeks-long investigation. This arrest marks a significant step in uncovering one of the biggest banking frauds in recent years.
The scam, which came to light earlier this year, involved fraudulent transactions and alleged collusion between Sharma and bank insiders. Investigators revealed that the accused used fake documents and manipulated accounts to siphon off crores of rupees over several years.
How the Scam Unfolded:
The fraud was detected during an internal audit, which flagged irregularities in high-value transactions. Preliminary findings suggest that Sharma, along with a few bank employees, created fake accounts and forged documents to divert funds. The scale of the scam has raised serious questions about the bank’s internal controls and monitoring systems.
Police Crack the Case:
The Economic Offences Wing (EOW) of Mumbai police, which has been leading the investigation, described Sharma’s arrest as a “major milestone.” A senior officer stated, “Rakesh Sharma was the key player in this scam. We are now investigating the involvement of other individuals, including bank staff.”
Customers Left in the Lurch:
The scam has left thousands of bank customers worried about their savings. Many are now questioning the safety of their deposits in cooperative banks. The Reserve Bank of India (RBI) has stepped in to reassure customers, stating that necessary measures are being taken to protect their interests.
What’s Next?
With Sharma in custody, the focus now shifts to recovering the stolen funds and ensuring accountability. Authorities are also expected to tighten regulations to prevent such scams in the future.
This case highlights the need for stricter oversight in the banking sector and serves as a wake-up call for financial institutions to strengthen their systems.
