Bank of India Official Arrested for Stealing Rs 16 Crore from Dormant Accounts
Mumbai’s financial world got a shock this week when the Enforcement Directorate (ED) arrested a suspended Bank of India staffer for a massive fraud. Hitesh Kumar Singla, a staff officer at the bank, allegedly closed 127 dormant accounts illegally and pocketed Rs 16.10 crore over the last two years. The arrest happened on September 17 at Ahmedabad Junction Railway Station, and it’s part of a bigger crackdown on money laundering in banking fraud cases.
Singla, who was already under suspension, faces charges under the Prevention of Money Laundering Act (PMLA), 2002. The ED produced him before the Special PMLA Court in Greater Bombay, which granted them seven days of custody to dig deeper. This all started from an FIR by the Central Bureau of Investigation (CBI)’s Anti-Corruption Branch (ACB) in Mumbai. The charges include criminal breach of trust under Section 409 of the Indian Penal Code (IPC), Section 316(5) of the Bharatiya Nyaya Sanhita (BNS), and corruption laws from the Prevention of Corruption Act, 1988.
Here’s how the scam unfolded, according to the ED investigation. Between May 2023 and July 2025, Singla targeted easy marks like senior citizens, minors, deceased account holders, and long-forgotten dormant savings accounts, current accounts, term deposits (TDs), Public Provident Funds (PPFs), and Senior Citizen Savings Scheme (SCSS) accounts. He closed these without any permission, then funneled the money straight into his personal savings account at the State Bank of India (SBI).
To cover his tracks, Singla layered the stolen funds through small, sneaky transfers. This bank fraud not only cheated Bank of India customers but also hurt the bank’s reputation and shook public trust in the system. The total loss? A whopping Rs 16.10 crore, all thanks to his misuse of position as a bank official.
After the fraud came to light, Singla went on the run and stopped showing up at work. But the ED, tipped off by solid intelligence and tech surveillance, caught him red-handed. He was traveling on the Mahamana Express from Ujjain to Veraval, constantly switching seats and coaches to dodge capture. Once nabbed, the ED even raided a close associate’s premises under PMLA Section 17 to uncover more leads.
This case highlights the growing risks of banking scams targeting vulnerable groups. As investigations continue, it serves as a wake-up call for better safeguards against money laundering and account fraud in India. Stay tuned for updates on this ED probe into Bank of India fraud.
Stay informed on all the latest news, real-time breaking news updates, and follow all the important headlines in world News on Latest NewsX. Follow us on social media Facebook, Twitter(X), Gettr and subscribe our Youtube Channel.
