1 month ago
Banks Report Rs 1.42 Lakh Crore Frauds
Banks in India have reported a huge amount of money lost to fraud over the last five years, totaling Rs 1.42 lakh crore.
They have also recovered some of this money, amounting to Rs 6,389 crore.
The government has taken action against people who did not pay back their loans, but there are concerns about how well these actions are being tracked.
Banks have filed legal cases and started processes to get their money back, but the central bank does not keep records of all the actions taken against these defaulters.
Banks reported frauds worth Rs 1.42 lakh crore over the last five financial years.
Recovery of Rs 6,389 crore was made in fraud accounts during the same period.
As of March 31, 2026, suits were filed against 15,577 wilful defaulters.
Action under the SARFAESI Act was initiated in 10,894 cases.
FIRs were filed in 7,173 cases, and Rs 52,360 crore was recovered from wilful defaulters.
- Who
- Banks and financial institutions in India
- What
- Reported frauds worth Rs 1.42 lakh crore and recovery of Rs 6,389 crore
- Where
- India
- When
- Over the last five financial years
- Why
- To inform Parliament about the extent of frauds and recovery efforts
Banks' Efforts
Regulatory Gaps
Recovery Actions
Banks' Efforts
Banks have taken significant actions including filing suits and initiating SARFAESI Act proceedings against wilful defaulters.
Regulatory Gaps
The RBI does not maintain information on actions taken against wilful defaulters, indicating potential regulatory gaps.
Key facts
- Total Fraud Amount
- Rs 1,42,112 crore
- Recovery Amount
- Rs 6,389 crore
- Wilful Defaulters Suits
- 15,577
- SARFAESI Act Cases
- 10,894
- FIRs Filed
- 7,173
- Recovery from Wilful Defaulters
- Rs 52,360 crore
Quotes
Pankaj Chaudhary
Minister of State for Finance
“As per Reserve Bank of India (RBI) inputs, during the last five financial years, an aggregate amount involved in frauds, based on the date of reporting in Commercial Banks and All India Financial Institutions was Rs 1,42,112 crore.”
thehansindia.com
“In a written reply to Rajya Sabha, Minister of State for Finance Pankaj Chaudhary said his ministry has been apprised by RBI that it is not maintaining information pertaining to the action taken against wilful defaulters.”
thehansindia.com
Sources
Related news
UK and Ukraine Open Battlefield AI Partnership Amid War
Netlist Stock Surges 650% as AI Demand Boosts Memory Business
Nvidia Reportedly Agrees to Acquire Hugging Face for $12.9 Billion
Volvo ES90 And EX90 Electric Flagships Launch In India
Defense Capex Surge Boosts Bharat Electronics, Data Patterns Stocks
Seven AI Courses Offer Paths From Free Lessons to Credentials
Government Says 7.8% GDP Growth Rewrites Opposition’s Economic Narrative
Opposition Praises India’s Nepal Relief, Urges Mission-Mode Action
Jan Dhan Account Balances Rise 55% Over Five Years
PM Jan Dhan Yojana Turns 12 With 59 Crore Accounts
BJP Chief Attacks SP Women-Centric Announcements Ahead of 2027
