PNB Commits to Settling Genuine Claims Amid ₹11.24 Crore Fraud Probe

Punjab National Bank (PNB) has assured its customers that all legitimate claims will be addressed following accusations of financial irregularities at its Greater Noida branch. The bank revealed it has already settled three claims totaling Rs 43 lakh while investigations continue into the extent of the alleged discrepancies involving savings and fixed deposit accounts.

In an official statement released on October 29, 2026, the bank emphasized that it is prioritizing the examination of complaints and verifying facts to fully understand the situation. "Three claims amounting to Rs 43 lakh had been settled as of yesterday. The Bank assures its customers that all genuine claims will be honoured," the statement read.

PNB also confirmed that it is cooperating fully with relevant authorities and taking necessary measures to address the concerns of all affected customers. The bank reiterated its strict zero-tolerance approach to fraud, financial misconduct, and irregularities, promising stringent action against any employees found culpable according to established rules and procedures.

Alongside disciplinary steps, the bank indicated it is enhancing internal controls and monitoring systems to prevent similar incidents in the future, signaling an effort to restore customer trust and safeguard assets.

The allegations surfaced after nearly two dozen account holders reported losses exceeding Rs 11.24 crore from their savings and fixed deposit accounts at the branch. A formal First Information Report (FIR) was filed against unidentified bank employees under Section 316(5) of the Bharatiya Nyaya Sanhita, which addresses criminal breach of trust. The complaint was initiated by a customer named Shrichand along with other account holders.

The complaint details indicate that 21 individuals have reported cumulative losses surpassing Rs 11.24 crore, with two account holders claiming losses above Rs 1 crore each. Local account holders have suggested the total fraud might be closer to Rs 35 crore, including discrepancies in savings accounts, fixed deposits, and mutual fund investments.

Among those affected, Shrichand from Surajpur, Greater Noida, alleged that Rs 1.16 crore was misappropriated from his fixed deposit account by bank employees. Other named customers include Kartari, Amichand, Vijay Pal, Santosh, Saroj, Bijendra Singh, Ranpal, Dharm Singh, Haneep Khan, Sonu, Jagdish, Sunita, Akash Bhati, Atender, Chatar Singh, Vinit Bhati, Sanjay, Basanti, and Gajendra.

Bijendra Singh, a farmer, reported that his savings account balance plummeted from Rs 87-88 lakh to just Rs 1 lakh. He explained that the original amount included compensation money he had received from an authority. Similarly, Haneep Khan claimed nearly Rs 39 lakh vanished from his account without his authorization, and Zakir, another customer, reported Rs 9.5 lakh missing with no transaction alerts sent to him.

Gautam Buddh Nagar Lead District Manager Ram Vinod Kumar confirmed to PTI that the grievances are under active investigation and that appropriate actions are underway. The police noted that the bank management had assured customers that their complaints would be properly addressed. Several bank employees, including the branch manager, have been suspended pending further inquiry and legal proceedings.

The issue came to public attention after multiple customers raised alarms on October 28, 2026, when they noticed unauthorized withdrawals and missing funds without receiving any transaction alerts. The bank’s swift response to settle initial claims and its cooperation with authorities highlight the seriousness with which the matter is being treated.

This incident sheds light on the vulnerabilities financial institutions face and the importance of robust internal controls to protect customer funds. Punjab National Bank, one of India’s largest public sector banks, handles millions of accounts nationwide, making the integrity of its operations critical for customer confidence and financial stability.

As investigations continue, customers and regulators alike will be watching closely to ensure transparency and accountability in resolving this case. Strengthening surveillance and fraud prevention mechanisms remains a key focus for banks across India, reflecting the sector’s ongoing efforts to enhance security in an increasingly digital financial environment.