In a major crackdown on a nationwide fake insurance claim racket, police and district administration have seized immovable properties worth ₹5.22 crore belonging to two brothers — Sachin alias Monu and Gaurav Sharma — in Noida. The action was carried out on the orders of the District Magistrate after investigations established that the properties were acquired using proceeds from fraudulent insurance claims.
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According to police officials, the seized assets include a double-storey residential house owned by Sachin alias Monu, valued at approximately ₹4 crore, and another residential property belonging to his brother Gaurav Sharma, estimated to be worth ₹1.22 crore. The attachment proceedings were executed on Wednesday, during which legal notices were affixed and the properties formally brought under seizure as per due process.
Investigating agencies stated that the two brothers were active members of an organised fake insurance gang that operated across 12 states, including Uttar Pradesh. The group allegedly specialised in filing fraudulent insurance claims related to road accidents, deaths, vehicle damage and health insurance by preparing forged documents and impersonating beneficiaries. Preliminary assessments estimate the total value of the scam to be more than ₹100 crore.
The racket came to light following the arrest of the gang’s kingpin, Omkareshwar Mishra Karan, a resident of Varanasi, in January 2025. At the time of his arrest, police recovered nearly ₹11 lakh in cash from his vehicle along with a large number of insurance-related documents. Subsequent interrogation and forensic examination of the records revealed the scale and structure of the fraud network.
During the investigation, police found that Sachin alias Monu and Gaurav Sharma played a key role in channelising the illicit proceeds into real estate investments. Officials said the brothers allegedly helped convert illegally obtained insurance money into immovable assets to project it as legitimate income and evade detection.
Police records indicate that multiple cases have been registered against members of the gang in several districts, including Sambhal, Moradabad, Badaun and Etah. Investigators have also established links between the fake insurance syndicate and cybercrime groups as well as other financial fraud networks operating in different parts of the country.
So far, more than 70 accused have been arrested and sent to jail in connection with the fake insurance claim scam. However, several of them are currently out on bail. Authorities stated that the investigation remains ongoing and further arrests, along with additional property seizures, are likely as more financial trails are uncovered.
Officials involved in the probe said the objective of the attachment proceedings is not only to recover illegally acquired assets but also to dismantle the financial backbone of organised economic crime syndicates. They added that similar actions may soon be initiated against other properties linked to the gang in different districts and states.
The administration has advised citizens to remain vigilant while dealing with insurance claims and financial transactions, urging them to use only authorised agents and verified channels. People have also been encouraged to immediately report any suspicious activity to the police or concerned agencies.
Police officials indicated that as the investigation progresses, more names connected to the fake insurance claim racket may emerge, potentially leading to further legal action and asset seizures in the coming weeks.
About the author – Ayesha Aayat is a law student and contributor covering cybercrime, online frauds, and digital safety concerns. Her writing aims to raise awareness about evolving cyber threats and legal responses.
