Indian banker embezzles $280,000 worth of gold for online gambling
A senior bank official at Union Bank of India’s Nagalapuram branch in the southern state of Andhra Pradesh has been accused of embezzling gold worth Rs 2.6 crore (approximately $280,000) to finance his online gambling addiction. The alleged scandal was uncovered during an internal audit, prompting a criminal investigation.
Details of the fraud
The suspect, identified as Assistant Manager Arava Suryatej, misused gold pledged by customers to secure personal loans from private financiers. Investigations indicate that he acquired over $125,000 by pledging gold from 30 customer accounts and an additional $155,000 by fraudulently re-pledging assets belonging to 37 other clients using falsified documentation.
Authorities believe that the embezzled funds were funnelled into online gambling platforms over a span of 50 days, with daily wagers estimated at around $6,000.
Investigation and legal action
The fraud was uncovered on February 10 during a bank audit. When confronted, Suryatej allegedly attempted to bribe the audit officer to suppress the findings. Instead, the officer alerted senior management, leading to a full-fledged inquiry.
A formal complaint has been filed by a senior regional manager, resulting in criminal charges against Suryatej and his branch manager, Sekhar Thiruvaraj. Local law enforcement, led by Satyavedu Circle Inspector Murali, has taken Suryatej into custody for questioning.
SiGMA News has reached out to Satyavedu police for comments regarding the latest updates on the case; however, the queries have been unanswered until publication.
Impact and response
The revelation has sparked concern among affected customers, with many rushing to verify the status of their pledged gold. The bank has published a list of 30 impacted clients and assured efforts are underway to recover the lost assets. However, the fate of gold belonging to 36 other customers remains uncertain. Authorities have urged all affected individuals to present their loan receipts for verification.
