5th Suspect Arrested in ₹122-crore New India Cooperative Bank Case
The Economic Offences Wing (EOW) of Mumbai Police has made another significant breakthrough in the investigation of the ₹122-crore New India Cooperative Bank case. On Friday, Kapil Dedhia, a civil contractor, was arrested from Vadodara and brought to Mumbai on Saturday. He is the fifth accused to be arrested in the case and has been sent to police custody till March 19.
The investigation into the case began in 2020, when it was discovered that the New India Cooperative Bank had been involved in a massive fraud. The bank’s management had allegedly siphoned off funds from the bank’s accounts, causing a loss of ₹122 crore to the bank and its customers.
The EOW launched a thorough investigation into the case, and after several months of digging, they finally arrested the first accused, a bank official, in February 2022. Since then, four more accused have been arrested, including the bank’s former chairman and managing director, its former chief executive officer, and two other bank officials.
The latest arrest is significant, as it brings to light the involvement of a new player in the scam. Dedhia, the civil contractor, is accused of being involved in the fraudulent transactions that took place at the bank. According to the police, he had been working with the bank officials to siphon off funds, and his involvement was discovered during the investigation.
The investigation has revealed that the fraud was perpetrated over several years, with the bank officials using fake transactions and accounts to launder money. The accused would allegedly create fake accounts and transfer funds from the bank’s accounts to these fake accounts, which were controlled by them.
The police have recovered a significant amount of money and assets from the accused, including cash, gold, and properties. The investigation is ongoing, and the police are working to recover the remaining assets and money that were siphoned off from the bank.
The arrest of Dedhia is seen as a significant breakthrough in the case, as it brings to light the involvement of a new player in the scam. The police are now working to determine the extent of his involvement and whether he was working alone or in collaboration with others.
The New India Cooperative Bank case is one of the largest banking frauds in India, and it has sent shockwaves through the banking industry. The case has highlighted the need for greater vigilance and oversight in the banking sector, as well as the importance of strong laws and regulations to prevent such frauds from taking place.
The case has also raised questions about the role of regulators and auditors in preventing such frauds. The Reserve Bank of India (RBI) and the Securities and Exchange Board of India (SEBI) have been criticized for their handling of the case, with some experts arguing that they should have done more to prevent the fraud from taking place.
The investigation into the New India Cooperative Bank case is ongoing, and it is expected to take several more months to complete. The police are working to recover the remaining assets and money that were siphoned off from the bank, and they are also working to determine the extent of the fraud and the involvement of all the accused.
In conclusion, the arrest of Kapil Dedhia, the civil contractor, is a significant breakthrough in the investigation into the ₹122-crore New India Cooperative Bank case. The case has highlighted the need for greater vigilance and oversight in the banking sector, as well as the importance of strong laws and regulations to prevent such frauds from taking place.
