Bank Fraud Amount Triples to ₹36,014 Cr in FY25 Despite Fewer Cases: RBI -

Mumbai: Despite a drop in the number of reported bank frauds in 2024-2025, the total amount involved in these frauds has almost trebled compared to the previous year, according to the Reserve Bank of India’s (RBI) Annual Report released on Thursday. The central bank said that most of the frauds occurred in digital payments (card/internet) in terms of number and primarily in the loan portfolio in terms of value. Private-sector banks reported more cases, but nationalized banks “contributed maximum” to the fraud amount.

A total of 23,953 frauds were reported during the year, down from 36,060 in 2023-24. However, the amount involved jumped sharply to Rs 36,014 crore, up from Rs 12,230 crore. This surge is primarily due to the reinstatement of 122 previously withdrawn cases amounting to Rs 18,674 crore, after re-examination in line with the Supreme Court’s March 2023 judgment mandating adherence to the principles of natural justice before designating frauds.

Private sector banks accounted for the highest number of frauds—14,233 cases, but their share in the total amount was only 28
per cent. In contrast, public sector banks, with 6,935 frauds, were responsible for 71 per cent of the value involved, reflecting the
larger size and complexity of their loan books. Foreign banks, small finance banks, and payment banks together made up less than one per cent of the total fraud value.

Advances fraud rose from Rs 10,072 crore in FY24 to Rs 33,148 crore in FY25. While, the number of frauds in ‘card/internet’ has declined significantly to 13,516 (Rs 1457 crore) in FY25 from 29,082 (Rs 520 crore) in FY24. “While card/internet frauds contributed maximum to the number of frauds reported by private sector banks, frauds in public sector banks were mainly in the loan portfolio,” said the RBI.