Ghaziabad: In a shocking case of financial misconduct, a bank employee allegedly siphoned off over ₹64 lakh from customer accounts in a bid to recover personal losses in the stock market. The employee, posted at Punjab & Sind Bank’s Patla branch in Ghaziabad, was arrested on Saturday by local police following a complaint filed by the bank. Authorities said the accused misused his access to banking systems to withdraw funds without account holders’ consent and invested them in the stock market, only to incur further losses.
Police identified the accused as Somil Tiwari, 29, a customer service associate at the branch. He was apprehended on December 13 following a tip-off. The case was initially registered on November 21 at the Nivadi police station after the branch manager noticed irregularities and lodged a formal complaint.
Funds withdrawn without customers’ knowledge
Investigations revealed that Tiwari exploited his position and access to the bank’s systems to illegally withdraw money from multiple customer accounts. Police said he employed unauthorised RTGS transfers and loose cheques, cumulatively diverting ₹64,87,442 without the knowledge or consent of account holders.
A senior police official stated that Tiwari had suffered substantial losses earlier while trading in the stock market. “In an attempt to recover those losses, he chose a fraudulent route, compromising customer funds,” the officer said.
Transfer to fake account and reinvestment
During questioning, Tiwari reportedly admitted to opening a fake bank account in a relative’s name, into which he transferred the misappropriated funds. These funds were then reinvested in the stock market, which again resulted in losses. Authorities emphasised that the accused meticulously planned the scheme and deliberately violated banking procedures.
Internal vigilance exposes the fraud
The irregularities came to light when the bank’s internal audit flagged suspicious transactions across accounts. The branch manager immediately escalated the matter to senior officials and filed a police complaint. Following technical and forensic verification, law enforcement authorities traced the transactions and apprehended Tiwari.
Police also recovered documents and banking records from the accused, which are being examined for further evidence.
Case registered under Indian Penal Code sections
Based on the complaint, the police registered an FIR under relevant provisions of the Bharatiya Nyaya Sanhita, specifically Sections 316(5) and 61(2), which pertain to fraud, breach of trust, and forgery. Authorities said the case is currently being investigated, including whether Tiwari has a history of similar offences.
Investigation into other accounts ongoing
Police officials confirmed that the investigation is ongoing to determine whether other employees or external parties were involved in the scheme. They are also examining whether additional accounts were compromised.
The police assured that strict legal action would be taken against all culpable parties once the probe is complete. The bank has also assured customers that all necessary measures are being implemented to safeguard deposits.
This case raises serious concerns about internal controls and oversight in banking operations, highlighting the risks posed by employee misconduct and speculative trading. Authorities and experts warn that unchecked greed and high-risk investments can quickly escalate into large-scale financial crimes, affecting both institutions and depositors.
