How ICICI Bank RM stole Rs 4.6 cr from customers - and what you must learn

Business Standard

3 hours ago

In a shocking case of internal bank fraud, an ex-ICICI Bank relationship manager in Kota, Rajasthan, has been arrested for stealing Rs 4.58 crore from over 110 customer accounts — many of them senior citizens — over a period of nearly three years. The fraud, which went undetected for months, highlights the urgent need for personal finance vigilance, especially in the digital banking era.
Such was the extent of her obsession with stock market trading that the 26-year-old Sakhi Gupta went to shocking lengths — allegedly siphoning off Rs 4.58 crore from unsuspecting customers, including even her own father-in-law. The funds were reportedly diverted into high-risk futures and options (F&O) trading, in a desperate bid to profit from speculative market movements.
According to police, Gupta has been pilfering from more that 110 accounts belonging to 41 customers for around two years at the Kota branch. She allegedly invested this amount in the stock market and lost the majority of it.
How did the fraud occur?
According to police and internal bank investigations, the accused, Sakshi Gupta, misused her access to break customer FDs prematurely, create overdrafts, sanction loans, and reroute funds to her personal trading accounts. She allegedly:
Broke 31 FDs worth Rs 1.34 crore without informing customers.
By changing mobile numbers to relatives' lines, she prevented customers from receiving alerts and hiding transactions
Stolen money was routed through a 'pool account' (one elderly customer's account with over ₹3 crore) before being transferred to her demat/trading accounts.
All ₹4.58 crore were invested in F&O trades via apps like Zerodha and ICICI Direct, but she reportedly lost the entire amount
How the scam unfolded:
According to the police investigation, the relationship manager broke fixed deposits (FDs) prematurely, created overdraft facilities, and even took personal loans in the names of unsuspecting customers — all without their consent or knowledge. The fraudulent transactions spanned over months and were cleverly hidden using manipulated entries in the bank's internal systems.
She exploited her access to ICICI Bank's Insta Kiosk and digital banking channels to carry out these unauthorized transactions, betraying the trust of both the bank and its customers.
What's more worrying: she reportedly manipulated entries in ICICI Bank's internal software to cover her tracks, making it difficult for both customers and internal auditors to detect any red flags.
The police also alleged that Gupta misused debit cards, PINs, and OTPs for these transactions, and even activated overdraft facilities on 40 accounts without consent. In addition to this, she permanently closed fixed deposits of 31 customers and funneled over Rs. 1.34 crore, while also taking a personal loan of Rs. 3.40 lakh.
What Is a pool account, and why it matters?
A pool account is typically used to consolidate funds from various sources. In this fraud:
She collected money from broken FDs, overdrafts, and fake loans into one account.
From there, funds were easily routed to her personal investment accounts.
This minimized red flags, since transactions were less scattered and easier to manage.
By centralizing transactions, she avoided the complexity and detection risks associated with moving money through 40+ accounts.
Who were the victims?
Most of the victims were elderly customers, many of whom relied on FDs as a source of post-retirement income. They remained unaware as alerts were rerouted and their bank accounts tampered with behind the scenes.
A customer complaint about a missing FD triggered an internal audit by ICICI, leading to a branch manager filing an FIR on February 18, 2023, and her arrest in May 2025.
What did ICICI Bank do?
ICICI Bank filed an FIR and confirmed that all affected customers have been compensated. The bank has since strengthened internal controls, but the incident raises serious questions about employee oversight and customer protection. An ICICI Bank spokesperson, in a press note, said that the interest of costumes is most important and upon discovering the activities the bank immediately filed an FIR. "We have a zero-tolerance policy against any fraudulent activity,' they said, adding that the employee has been suspended and genuine claims of impacted customers have been settled.
Key red flags:
FDs were closed without OTPs being triggered.
No transaction alerts were received by customers due to outdated contact details.
Customers only realized something was wrong after significant sums were gone
What this means for you?
If you're a bank customer:
Check your alerts: Ensure your mobile number and email are updated with your bank to receive all transaction notifications.
Monitor FD and loan activity: Unexpected closure of FDs or creation of overdrafts should raise red flags.
Review bank statements regularly, especially if you're a senior citizen or non-tech-savvy.
Immediately report any suspicious changes (like mobile number alterations or OTP behavior) to your bank's fraud cell.