20 Aug 2025 : In a significant development for hundreds of depositors affected by the ₹15-crore fraud in Punjab’s Faridkot, the State Bank of India (SBI) has begun refunding the defrauded money. The move comes as a major relief to victims who had been anxiously waiting for months to recover their hard-earned savings.
Background of the Scam
The large-scale fraud was unearthed earlier this year when customers reported unauthorized withdrawals from their accounts. Investigations revealed that fraudulent transactions had taken place in several branches of SBI in Faridkot, amounting to nearly ₹15 crore. The scam left many depositors—particularly farmers, pensioners, and small traders—devastated, sparking protests outside bank premises.
Local residents alleged serious lapses in the bank’s internal monitoring system, claiming that the fraud continued for months before being detected. Many victims accused the bank of being slow to act, further adding to the panic in the community.
Refund Process Underway
According to officials, SBI has started crediting refunds directly into the accounts of affected customers. The refund process is being carried out in a phased manner after detailed verification of claims to ensure that only genuine victims are compensated.
“Customer trust is our top priority. We have initiated the refund process and are committed to ensuring that every affected depositor gets their rightful money back,” an SBI spokesperson said.
The bank further added that corrective measures, including tighter auditing, stricter vigilance, and upgraded cybersecurity systems, have been implemented to prevent such incidents in the future.
Relief for Victims
For many victims, the refund has come as a long-awaited relief. Several farmers, who had lost large sums meant for crop investments, said they can now plan ahead for the upcoming sowing season. Pensioners who relied on monthly deposits expressed gratitude, saying the return of funds has given them a renewed sense of financial security.
“I had lost my life savings in this fraud. It was a nightmare for my family. Getting the money back has lifted a huge burden,” said one of the victims outside an SBI branch in Faridkot.
Investigation Continues
Meanwhile, law enforcement agencies are continuing their probe into the scam. Police sources said that multiple suspects, including former bank staff and local intermediaries, are under investigation for their possible involvement. Authorities are working to establish how such a large fraud was carried out despite internal security checks.
Senior officials confirmed that those found guilty will face strict legal action. “We are determined to bring all culprits to justice. The investigation is progressing, and we are following leads on possible insider involvement,” said a police official.
Concerns Over Banking Security
The incident has raised serious concerns over banking security, especially in smaller towns where depositors often lack digital literacy and rely heavily on trust in traditional banking systems. Experts have urged banks to strengthen their fraud detection mechanisms and conduct regular awareness programs for customers.
Conclusion
While the refund process has brought much-needed relief to victims, the ₹15-crore Faridkot fraud has left a lasting impact on customer confidence in the banking system. The ongoing investigation will determine accountability, but for now, the focus remains on ensuring that every depositor regains their lost money and that such breaches do not occur again.
Summary:
SBI has started refunding customers in Punjab’s Faridkot who lost money in a ₹15-crore fraud case. The refunds are being processed in phases after verification. The scam, which caused panic among depositors, is under investigation, while the bank has promised stronger security measures to prevent such incidents in the future.