Chhattisgarh's fake SBI branch fraud: How a village fell victim to the scam

The scam involved fraudulent job appointments, fake training sessions, and a meticulously constructed setup to deceive both unemployed individuals and local villagers

India has seen a rise in financial frauds in recent years, from fake bank transactions to elaborate document scams. But a recent case in Chhattisgarh has taken audacity to a new level. In a scheme reminiscent of a movie plot, criminals set up a fake branch of the State Bank of India (SBI), orchestrating a banking fraud that involved fraudulent job appointments, fake training sessions, and a meticulously constructed setup to deceive both unemployed individuals and local villagers.

The scam occurred in Chhapora, a village about 250 kilometres from Raipur in Chhattisgarh's Sakti district. Six unsuspecting individuals were hired for what they believed were legitimate jobs at India's largest bank, SBI, NDTV reported. The fake branch, which had been operational for only 10 days, closely resembled an authentic bank, complete with new furniture, professional documents, and functioning counters.

 

Local villagers, unaware of the fraud, began visiting the "branch" to open accounts and perform transactions. The newly appointed employees, thrilled about securing positions at the reputed bank, were unaware of the scam until police and senior SBI officials launched an investigation on September 27, following concerns raised by the Dabra branch manager.

How was the fraud uncovered?

Citing a senior police officer, the report said the Dabra branch manager reported suspicions about a fake SBI branch operating in Chhapora. Following an investigation, it was confirmed that the branch was fraudulent and the appointments were fake. So far, police have identified four individuals involved in the scam, including key suspects Rekha Sahu, Mandir Das, and Pankaj, who posed as the branch manager.

Fake offer letters and costly jobs

The criminals behind the fake branch issued offer letters that appeared legitimate, offering roles such as manager, marketing officer, cashier, and computer operator. The employees even received training. However, securing these jobs came at a cost, with the fraudsters demanding between Rs 2 lakh and Rs 6 lakh from the recruits, promising them high-paying government jobs in return.

Ajay Kumar Agarwal, a local villager who had applied for an SBI kiosk in Chhapora, grew suspicious when an SBI branch suddenly appeared in his area, NDTV said. Since the nearest legitimate branch was in Dabra, Ajay found it odd that a new branch could open without prior notice. Upon further investigation, he discovered discrepancies in the employees' responses and noted that the branch sign lacked a branch code. His report to the Dabra branch manager ultimately exposed the scam.

The fake SBI branch was set up in a rented space owned by a local resident, Tosh Chandra, at a monthly rent of Rs 7,000. The fraudsters furnished the branch with proper signage and furniture to make it appear legitimate. They primarily targeted unemployed individuals from nearby districts, including Korba, Balod, Kabirdham, and Sakti.

The scam has left many of the victims facing not only financial losses but also legal challenges. Several mortgaged their jewellery or took loans to pay for their fake appointments and are now struggling to cope with the aftermath of this extensive fraud.