However, amount valued in fraud stands at Rs 490.73 Cr
WAJAHAT SHABIR
SRINAGAR: Jammu and Kashmir Bank Limited has experienced fluctuations in fraud cases over the past few years, with a notable decline in both the number of incidents and the amount involved.
This was informed by Finance Minister Niramala Sitharaman in Lok Sabha.
Finance Minister said as per the Master Directions on Fraud Risk Management by the Reserve Bank of India (RBI), banks are required to report incidents of fraud immediately to different law enforcement agencies (LEAs), viz. the Central Bureau of Investigation, State Police, etc., depending on the amount involved in the fraud. RBI has apprised that information regarding the average investigation time in bank fraud cases is not maintained by it.
Comprehensive steps have been taken to keep a check on banking frauds and deter fraudsters, enabled by which amount involved in frauds based on the date of occurrence has declined from Rs. 33,757 crores in FY 2019-20 to Rs. 4,224 crores in FY 2023-24, and further to Rs. 837 crores in FY 2024-25 (up to December 2024), she said.
Sharing details on Jammu and Kashmir Bank, the Finance Minister informed that in the financial year 2019-20, the bank recorded 13 fraud cases with a total amount involved of ₹69.71 crore. The following year, in 2020-21, the number of cases decreased to 10, but the amount involved rose to ₹99.23 crore.
In 2021-22, the bank reported 12 cases, with the fraud amount significantly dropping to ₹14.25 crore. However, in 2022-23, there was a sharp increase in the financial impact of frauds, with 16 cases amounting to ₹298.75 crore. This marked the highest amount recorded over the last five years.
The trend in 2023-24 showed a decline in fraudulent activities, with only eight cases reported, involving ₹8.10 crore. In the current financial year 2024-25 (up to December 2024), the bank has recorded just two fraud cases, with the amount involved further reducing to ₹0.69 crore.
The total amount involved in fraud from 2019-20 up to December was ₹490.73 crore with the highest fraud-related financial impact recorded in 2022-23, amounting to ₹298.75 crore.
