Lucknow | The Central Bureau of Investigation (CBI) on Saturday initiated a multi-city crackdown into the alleged misappropriation of nearly ₹65 crore belonging to the Uttar Pradesh Forest Corporation, carrying out coordinated raids in Delhi, Kanpur and Ghaziabad.
The case pertains to suspected fraud at the Sadar branch of Bank of India, where bank officials are accused of issuing fake fixed deposit (FD) receipts in the name of the forest corporation and diverting the funds into unauthorised accounts. An FIR has been registered against unidentified bank employees, and the agency has begun a detailed forensic and financial audit of the transactions.
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The investigation was triggered after the Forest Corporation’s Managing Director Arvind Kumar submitted a formal complaint highlighting discrepancies in FD records and missing deposits. Preliminary examination of the documents pointed to serious procedural lapses and possible internal collusion, prompting the CBI’s Lucknow unit to take over the probe.
Officials said that three specialised teams were formed to simultaneously search premises connected to the suspected network. The raids continued for several hours, with investigators questioning staff and seizing digital and financial evidence.
Fraudulent Accounts Used to Siphon Off Deposits
CBI sources indicated that the accused allegedly opened fake bank accounts using forged documents, through which the fixed deposit funds were routed and later withdrawn. Investigators are now tracing the money trail, beneficiary accounts, and the role of intermediaries involved in executing the fraud.
During the searches, the agency recovered documents, laptops, storage devices and account details that are expected to shed light on how the scam was orchestrated. Officials suspect that the operation may involve an inter-state racket, operating across multiple bank branches.
Two individuals identified as Deepak and Manish have emerged as key suspects. They are believed to have played a role in opening forged accounts and facilitating the transfer of the forest corporation’s funds. The CBI is currently working to locate and interrogate them.
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In a related development, Lucknow police have registered a separate FIR in connection with a fixed deposit fraud involving more than 60 customers at the Bank of Baroda’s Shankutala Mishra University campus branch.
The FIR, lodged at Para police station, names Bank Mitra Shiva Rao along with several former branch managers posted at the bank since 2020. The accused have been booked under 10 sections of the Indian Penal Code for cheating, forgery and criminal conspiracy.
The complaint was filed by 24 account holders, including Ram Singh Yadav, who alleged that their deposits were fraudulently transferred or misused in the name of fixed deposits.
Police said the accused bank mitra acted as an unauthorised agent, misguiding customers and facilitating fake FD entries, leading to losses running into several crores.
One of the Biggest Banking Frauds in Recent Years
Officials described the alleged ₹65 crore diversion as one of the most significant recent cases of banking fraud involving public funds in Uttar Pradesh. The CBI is examining whether the same network was also active in other states and branches.
The investigation will focus on banking procedures, internal approvals, audit failures and the movement of funds through shell accounts. Senior officials said that arrests are expected once the financial trail is fully established.
The case has raised concerns about the security of government-linked deposits in public-sector banks and the growing misuse of banking correspondents or “bank mitras” in large-scale financial fraud.
CBI officials confirmed that further raids and summons may follow as the probe widens.
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.
