A major financial fraud has come to light at a Bank of Baroda branch in Ahmedabad’s Kalupur area, where a bank employee is accused of siphoning off Rs 8.70 crore from an RBI currency chest by allegedly manipulating records, with police launching a search after the suspect reportedly disappeared along with his family.
Currency Chest Irregularities Surface During Review
According to the FIR filed by branch chief manager Harikar Devan, the alleged fraud involved cash stored in a Reserve Bank of India currency chest maintained at the branch. Investigators said the irregularities surfaced during a routine review of cash reserves and record management procedures.
Under banking procedures, responsibility for handling and monitoring cash reserves in the RBI currency chest rested with chief custodian Sanjay Shah and joint custodian Harshsiddh Kadiyar, a resident of Chandkheda. The complaint alleges that Kadiyar manipulated official records and cash movement entries over a period of time, resulting in the unauthorised removal of Rs 8.70 crore from the currency chest.
Officials said the custodian and joint custodian were specifically appointed to maintain records and oversee transactions involving the movement and storage of cash within the vault. The alleged discrepancies therefore triggered immediate concern once questions began to arise over record entries and stock verification.
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Extended Leave and Audit Deepen Suspicion
The matter reportedly came under sharper scrutiny after Kadiyar suddenly stopped reporting to work and repeatedly sought extensions to his leave. According to the FIR, on April 13 he informed the chief manager through a message that he was unwell and sought one day of leave. He later extended his absence by applying for five days of medical leave and then sought another 17 days of leave from April 20 to May 5.
Bank officials rejected the extended leave request and directed him to report back to work, but he allegedly did not return. His prolonged absence later became a key factor during internal checks and the subsequent investigation.
The alleged discrepancy was detected while supervisory responsibilities at the currency chest were undergoing change. With chief custodian Sanjay Shah nearing retirement, new officials were assigned duties related to the RBI vault. During an audit of cash reserves, officials reportedly found 104 bundles of Rs 500 notes missing. The missing cash was estimated at Rs 8.70 crore, prompting a deeper examination of records and surveillance footage.
CCTV Footage and Search Operation Under Way
During the investigation, officials reviewed CCTV footage from the branch and allegedly found visuals showing Kadiyar carrying multiple boxes out of the bank premises on January 13. Investigators said he had reportedly claimed at the time that the boxes contained scrap material being taken away for disposal.
Police now suspect that the alleged removal of scrap was used as a cover to take cash out of the bank without drawing attention. Investigators are also examining whether the alleged removal of the money took place in stages over a period of time.
Bank officials later visited Kadiyar’s residence in Chandkheda while trying to contact him, but reportedly found that he and his family had vacated the premises nearly a month earlier. Police said they are now trying to trace his movements and determine whether the disappearance had been planned in advance. Police inspector H R Vaghela of Kalupur Police Station said technical analysis and multiple teams had been deployed to locate the accused. Investigators also suspect Kadiyar may have timed his absence strategically, allegedly taking extended leave knowing that CCTV footage is retained only for 90 days and hoping evidence would be erased before the discrepancy was discovered. The investigation is continuing.
About the author – Rehan Khan is a law student and legal journalist with a keen interest in cybercrime, digital fraud, and emerging technology laws. He writes on the intersection of law, cybersecurity, and online safety, focusing on developments that impact individuals and institutions in India.
