Citibank Employee fraud of Rs 400cr which was uncovered at Gurgaon branch from 20 accounts of high-net worth clients. Citibank of Gurgaon branch has already lodged an FIR and commenced internal investigation into the fraud. According to sources, an employee Shivaraj Puri used to seek deposits from high-networth customers in lucrative schemes. However, he used to transfer the funds to some other accounts.

After filing the FIR investigation has been started into a certain set of suspicious transactions based on documents forged by an employee involving a few accounts in our Gurgaon branch, a Citi India spokesperson said in a statement.

Funds amounting to Rs 400 crore belonging to about 20 customers, according to sources, was transferred to fictitious accounts. The employee involved is suspected of selling investment products to clients claiming that these would generate unusually high returns. It has been alleged that the employee also showed a forged notification of market regulator Securities and Exchange Board of India for garnering funds from customers.

The employee also claimed that the products were authorised by the banks investment product committee. This issue does not impact other accounts,transactions or customers of the bank. Subsequent to the complaint naming the involved employee and other external individuals who appear to be perpetrators in these suspicious transactions, the Gurgaon Police has registered an FIR, the spokesperson added.

FIR has been registered under the Indian Penal Code section 420, 467 and 468 dealing with the fraud of Rs 400cr.

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