RBI assists Mumbai Police in ₹122 crore bank fraud

The Reserve Bank of India (RBI) has provided information to Mumbai Police regarding a fraud case involving New India Cooperative Bank. The case involves an alleged embezzlement of ₹122 crore. Mumbai Police had requested details about the bank's statutory audits and the involvement of its board members. They specifically asked about two members who were appointed in 2021, their roles, and if they flagged any problems in the bank's operations. Additionally, police inquired about the reasons for a surprise inspection conducted on February 12. The RBI conducted this inspection after not performing any surprise checks on the bank since it came under their supervision. In 2023, the bank had over ₹130 crore in cash, but the amount fell to ₹122 crore by February 2025. Despite the lower cash amount, an inspection was still ordered. Officials are curious to know what led to this inspection and if the RBI found any concerning issues with the bank. As of now, the RBI has not responded to further queries from the media about the case.