Mumbai: One year after state-owned Bank of Maharashtra (BoM) lost Rs 25 crore in one of the biggest Unified Payments Interface (UPI) frauds, the Mumbai police recently arrested two pawns and exposed the racket of how the money was circulated to commit the financial fraud.
Dindoshi police arrested Jaykumar Singh and Kalpesh Vinod Bhatt who worked for mastermind Jayant Damania (in his 60s) who was arrested by Navghar police in the similar fraud case registered for siphoning off Rs. 17 lakh from BoM.
“Bhatt is an agent who introduced Singh to Damania, who briefed him the whole plan of action. Damania gave Rs. 5,000 to open an account at Dindoshi branch of BoM. Few days later Singh changed his registered mobile number with the bank as per the plan. Subsequently Rs. 1 lakh was moved out of Singh’s account. The BoM tried all possible way to contact Singh, but he remained unreachable,” said a senior officer.
“The investigation revealed that Rs. 1 lakh was transferred to an account in Union Bank of India of a ‘shell company unit’ of Damania, whose family is into banking fraud. Damania’s brother Jashwant died in prison. He was also booked in the similar fraud case,” another officer said.
Singh was given Rs. 7000, as a commission, to open an account at Dindoshi branch. The police said Jayant Damania was arrested by Navghar police of Bhayandar for siphoning off Rs. 17 lakh from BoM.
Dindoshi police had sought for the custody of Jayant Damania as he is co-accused in the case. But he had moved anticipatory bail application which has been granted. “Damania has told court that Rs. 18 lakh money which was fraudulently moved to his account (Rs. 17 of Navghar and Rs. 1 of Dindioshi) has been deposited at High Court. So the prime accused Damania at present is out on bail,” said an officer. The police is set to file chargesheet before the month ends, said zonal DCP Vinaykuamr Rathod.
The state-owned BoM had procured UPI application which had a bug that resulted in the fund moving out of the accounts without the sender’s account having requisite funds. After the surface of apparently the biggest financial fraud in state, Special Inspector General of Police (Maharashtra-Cyber) Brijesh Singh had asked BoM branch managers to register FIR at nearest police stations who were told to conduct thorough enquiry.