Gorakhpur: Police have stepped up action in a major insurance fraud case in the Ramgarh Tal police station area, arresting three accused, including the operator of Vidyavati Hospital. Investigators say the accused were part of a well-organised network that colluded with private hospital operators and insurance agents to fabricate patient records and extract large insurance claims in the name of medical treatment. The probe so far has revealed fraud running into several crores of rupees.
Those arrested have been identified as Indresh Yadav, a resident of Pachohan village in Uruwa market area, Aman Yadav alias Gaurav Yadav of Sonwa Tola in Mohanapur village under Shahpur police station, and Abhishek Sharma alias Honey Sharma, a resident of Saraswatipuram Lane No. 3. According to investigators, Indresh Yadav was operating Vidyavati Hospital located on the Khorabar bypass and had been actively involved in the racket for a long period.
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The investigation has revealed that the accused were in constant contact with operators linked to Decent Hospital and jointly ran a fraudulent operation. Fake medical files were prepared in the names of patients who were never actually admitted. These files showed detailed treatment histories, duration of hospitalisation and inflated expenses. Forged signatures, closely resembling those used at Decent Hospital, were affixed to make the documents appear genuine. On the basis of these papers, insurance companies were approached and claims were successfully cleared.
Police officials say that in several cases, no patient was ever admitted or treated. Treatment existed only on paper. Using the personal details of policyholders, claims were filed and the sanctioned amounts were transferred to multiple bank accounts. The money was then withdrawn or redistributed among those involved in the scheme. Insurance agents and a few hospital staff members allegedly facilitated the process, helping the accused bypass routine scrutiny.
This is not the first breakthrough in the case. Earlier, police had arrested six accused, including the operator of Decent Hospital and a doctor linked to the fraud. The latest arrests have further strengthened the investigators’ belief that the scam was not limited to a single hospital or a handful of individuals. Instead, it functioned as a coordinated network involving multiple hospitals, middlemen and insurance intermediaries operating across districts.
How the fraud came to light
The case was registered on September 9, 2025, after officials of a major insurance company submitted a written complaint to Gorakhpur police. The complaint alleged that fake patients were being shown as admitted to Decent and Apex hospitals and that insurance money was being withdrawn in the name of treatment. During the investigation, it emerged that forged documents of policyholders had been created, bank accounts were opened in their names, and nearly ₹1.80 crore was siphoned off through fraudulent claims.
One of the most startling revelations was that Apex Hospital, shown in several claim documents as the place of treatment, did not exist at all. At the same time, scrutiny of Decent Hospital records revealed numerous suspicious files that failed verification checks. As the probe widened, names of hospitals in Gorakhpur, Sant Kabir Nagar and Basti districts also surfaced, raising concerns that the network had a much larger geographical spread.
Police are now examining bank statements, call detail records and digital transaction trails of the arrested accused. Investigators are also analysing whether more hospitals and insurance agents were knowingly involved and how many claims were cleared using forged documentation. Preliminary findings suggest that the total amount involved could rise further as more cases are verified.
Authorities say the investigation is far from over and additional arrests are likely in the coming days. The focus remains on dismantling the entire network and ensuring that those who misused the insurance system face strict legal consequences. Officials have indicated that a strong chargesheet will be filed against the accused to act as a deterrent and to prevent similar frauds targeting insurance companies in the future.
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.
