A major financial fraud has come to light at the Adarsh Co-operative Urban Bank in Medak district of Telangana, where a bank manager has been accused of cheating his own institution of nearly ₹1.80 crore through fake gold loans and fraudulent accounts. The incident has triggered shock across the banking and law enforcement system.
According to police, the accused manager, identified as Anil, is currently absconding, and special teams have been formed to trace him. Preliminary investigations suggest that he misused his official position to open 16 bank accounts using the Aadhaar and PAN details of his wife, close friends, and acquaintances. These accounts were allegedly used to divert and route illegal transactions.
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Investigators further revealed that the accused manipulated the gold loan system by pledging extremely small 1-gram ornaments while presenting them as high-value gold jewellery. Using this method, he allegedly secured loans worth around ₹1.49 crore. Officials said the actual value of the gold was far lower, indicating a deliberate manipulation of banking records.
In addition, Anil is accused of diverting cash deposits made through ATMs. During the internal audit and investigation, authorities found that nearly ₹31.35 lakh deposited by customers was not properly credited to accounts and was allegedly misused for personal benefit. This raised further concerns about internal monitoring failures within the bank.
The total suspected fraud is estimated to exceed ₹1.80 crore. The scam came to light after bank officials detected irregularities in transaction records and initiated an internal audit, which eventually led to a formal police complaint and registration of a case.
Investigations have also revealed that the accused had previously been involved in another fraud case. Police believe that Anil was addicted to online betting and suffered significant financial losses, which may have driven him to plan and execute the scam. Authorities suspect that he exploited his position and access within the bank to conceal the fraud over a long period.
In connection with the case, police have arrested the accused’s wife and a close associate identified as Subramanyam. Both have been produced before a court and remanded to judicial custody. Officials said their involvement in the financial transactions is under further investigation.
The bank management stated that several irregularities were uncovered during internal audits and digital record verification. All suspicious accounts have now been frozen, and a detailed review of transactions is underway to determine the full extent of the financial damage.
Experts say the case highlights persistent vulnerabilities in cooperative banking systems, particularly in internal oversight and verification mechanisms. With increasing digital transactions and rapid loan processing systems, weak monitoring can allow such insider frauds to go undetected for long periods.
Police teams are currently conducting searches to locate the absconding accused, and further raids are being carried out at possible hideouts. Officials indicated that the investigation may expand further, as more financial irregularities could surface in the coming days.
The incident has once again raised serious concerns about banking security, internal controls, and the need for stricter audit systems to prevent insider fraud in financial institutions.
