ICICI Bank Manager Suspended for Rs 4.58 Crore Fraud Using Customer Funds in Stock Market

ICICI Bank Manager Suspended for Rs 4.58 Crore Fraud Using Customer Funds in Stock Market

Bank employee linked to massive customer fund misuse across 110 accounts; police and bank initiate strict action

Kota, Rajasthan – June 7, 2025 — In a major financial misconduct case, ICICI Bank has suspended Sakshi Gupta, a relationship manager at its Kota branch, after it was revealed that she misappropriated Rs 4.58 crore from over 100 customer accounts and lost the money in unauthorized stock market investments. The fraudulent activity took place over a span of three years, from 2020 to 2023, and went undetected until an internal audit prompted a formal police complaint in February 2024.

How the Fraud Unfolded

According to the complaint filed by branch manager Tarun Dadich at the Udhyog Nagar Police Station, Gupta exploited the “User Fixed Deposit” (UFD) link to withdraw funds from 110 accounts belonging to 41 customers without their knowledge. The investigation revealed a systematic manipulation of the bank’s digital infrastructure and mobile-linked OTP system to bypass security measures.

To conceal her actions, Gupta allegedly:

• Linked customer bank accounts to mobile numbers registered under her relatives, ensuring that customers did not receive OTPs for transaction authentication.
• Used debit cards, PINs, and OTPs in a coordinated manner to complete illegal transactions.
• Created intermediary or proxy accounts—in one case, using the account of an elderly woman unaware of the scam—to consolidate and route stolen funds.

Sub-Inspector Ibrahim confirmed that more than Rs 3 crore was funneled into just one such account during 2023.

ICICI Bank’s Response

Reacting swiftly, ICICI Bank released a public statement asserting its zero-tolerance policy towards fraudulent activity and confirmed Gupta’s suspension following her arrest on May 31, 2025.

“The interests of our customers are of paramount importance to us. Immediately upon discovering the fraudulent activity, we filed an FIR with the police,” the bank stated.

The bank also assured customers that genuine claims have been settled, and efforts are underway to strengthen internal safeguards.

Legal Proceedings and Custody

Following her arrest, Sakshi Gupta was placed in judicial custody. The case continues to develop as law enforcement investigates the depth of the financial trail and explores potential accomplices or systemic vulnerabilities.

Security Lapses Under Scrutiny

The case has brought renewed focus on banking security protocols and employee access controls within Indian private sector banks. Experts note that:

• The manipulation of mobile OTP systems highlights a vulnerability in current digital verification methods.
• Inadequate real-time monitoring of high-value transactions may have allowed the fraud to persist undetected for nearly three years.

What Customers Should Know

ICICI Bank has advised customers to:

• Regularly review account statements and report any discrepancies.
• Ensure mobile numbers and email addresses are updated in bank records.
• Avoid sharing OTPs or banking credentials with anyone, including bank staff.

The incident serves as a warning to all account holders to remain vigilant and to question sudden inactivity or unusual balance fluctuations.