New India Cooperative Bank GM detained by EOW in Rs 122 crore fraud case
Economic Offences Wing (EOW) of Mumbai Police has detained Hitesh Mehta, General Manager of New India Cooperative Bank, in connection with a Rs 122 crore financial fraud case
- MUMBAI — The Economic Offences Wing (EOW) of Mumbai Police has detained
Hitesh Mehta, General Manager of New India Cooperative Bank, in connection with
a Rs 122 crore financial fraud case.
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- On Saturday, EOW officials conducted a raid at Mehta’s
residence in Dahisar, Mumbai, at Aryavrat Society, NL Complex. Following the
search at his 14th floor apartment, Mehta was taken into custody and brought to
the EOW office for interrogation.
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- An FIR was earlier registered at Dadar Police Station
against Mehta, accusing him of financial embezzlement. The complaint was lodged
by Devarshi Shishir Kumar Ghosh, 48, the Acting Chief Executive Officer (CEO)
of the bank. Alongside Mehta, several of his colleagues, including senior
officials from the bank’s accounts department, have been named in the case.
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- According to the FIR, the accused allegedly misused their
official positions, conspired, and siphoned off Rs 122 crore from the bank. The
investigation is now being handled by the EOW under the supervision of DCP
Mangesh Shinde, who oversees financial crimes related to the banking sector.
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- The fraud is said to have taken place between 2020 and
2025.
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- Amid financial irregularities, the Reserve Bank of India
(RBI) on Thursday imposed restrictions on New India Cooperative Bank due to
liquidity concerns. Effective from February 13, 2025, the bank has been barred
from allowing withdrawals, though customers can adjust loans against deposits.
However, essential operational expenses, including salaries, rent, and utility
bills, will still be permitted.
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- The RBI’s action has sparked panic among depositors, who
rushed to bank branches seeking withdrawals, only to be turned away. The
central bank has stated that these restrictions are necessary to safeguard
customers’ interests. Additionally, the bank has been prohibited from selling
any of its assets during the six-month restriction period.
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- The New India Co-operative Bank has been struggling with
financial losses in the last few years.
