Chandauli: A case of alleged document fraud to obtain a personal loan has come to light in Uttar Pradesh’s Chandauli. Vijay Kumar Rai, a resident of Kanpur, allegedly posed as a railway employee and secured a ₹20 lakh personal loan from the State Bank of India’s ITC Mall branch. According to the complaint, he did not pay a single instalment after receiving the loan in November 2022. The alleged irregularities were detected during an internal audit, following which the bank management approached the police.
According to police, Rai, who lives in the Kidwai Nagar area of Kanpur, applied for a personal loan at the SBI branch in Chandauli district headquarters in 2022. During the application process, he allegedly claimed to be employed with the Railways and submitted documents related to his identity, employment and income.
Salary Slip and Other Documents Submitted
According to the complaint, Rai submitted an Aadhaar card, PAN card, salary slip and other documents along with his loan application. Based on the documents, the bank proceeded with the loan application.
The preliminary information indicates that the bank verified the Aadhaar and PAN details. However, questions have been raised over whether the documents relating to his alleged railway employment and salary were properly verified before the loan was sanctioned.
Bank records reportedly show that ₹20 lakh was transferred to Rai’s account on November 15, 2022. The bank expected the borrower to begin repaying the amount through scheduled monthly instalments. However, according to the complaint, not a single instalment was subsequently deposited.
The loan account remained outstanding for a prolonged period. Nearly four years later, during an internal audit, the account was examined again and alleged discrepancies in the documents and repayment history came to light.
Internal Audit Uncovers Alleged Document Irregularities
Following the audit, bank officials reportedly began reviewing the documents submitted with the loan application. Investigators are now trying to establish what documents Rai used to support his claim of being a railway employee and how those documents were verified during the loan approval process.
Police are also examining the alleged salary certificate and other employment-related papers. Investigators will seek to determine where the documents were prepared and whether any other person or agency assisted in creating or submitting them.
The verification process is also expected to establish whether the documents were completely fabricated or whether genuine identity documents were allegedly used alongside false employment and income records.
Case Registered on Bank Manager’s Complaint
After the alleged irregularities came to light, branch manager Jai Kumar submitted a complaint against Vijay Kumar Rai at Sadar Kotwali. Police have registered a case under relevant provisions and begun an investigation.
Investigators are examining the loan application, supporting documents, bank records, salary-related papers and information concerning the alleged railway employment. Police are also expected to verify the employment claim directly through the relevant records.
Another key aspect of the investigation is whether anyone else helped Rai obtain the loan. Investigators will examine communications, documentation and other records to determine whether the alleged fraud involved only the borrower or a wider network.
Loan Approval Process Under Scrutiny
The case has also raised questions about the verification procedures followed before the ₹20 lakh loan was sanctioned. If the investigation confirms that the accused obtained the loan by submitting false employment and income documents, the matter could involve more than simple loan default and may constitute alleged document fraud and deception for obtaining financial benefit.
The circumstances surrounding the prolonged non-payment of the loan are also being examined. Police will seek to establish why the account remained unpaid for years and whether the bank had taken any recovery measures during this period.
Investigators are also expected to trace how the ₹20 lakh was used after it was credited to the accused’s account. The movement of the loan amount could provide additional evidence regarding the alleged fraud.
For now, the allegations remain under investigation. Police will determine the authenticity of the documents, the exact manner in which the loan was obtained and whether other individuals were involved. Further legal action will depend on the evidence collected during the investigation.
About the author — Suvedita Nath is a science student with a growing interest in cybercrime and digital safety. She writes on online activity, cyber threats, and technology-driven risks. Her work focuses on clarity, accuracy, and public awareness.
