CITIBANK SCAM

at Gurgaon Retail Branch

• Bank Branch – DLF - II Gurgaon Retail Branch
• Main accused – Shivraj Puri (Relationship
manager)
• No previous record of fraud on him.
• Total Amount involved – Rs. 350 cr. (approx)
• Victims – High net worth individuals &
corporates
• Scam Revealed on – 28th dec 2010.
• Fake Scheme –
 High returns on high deposits in short term.
 Forged circular in the name of SEBI stating
scheme only that particular branch.

• Convince perspective customers to invest.

• Tapped around 18 customers.
• Puri generated forged bank slips and
statements to the duped customers.
• Puri opened 78 accounts in his name and in
the names of grandparents & his mother.
• The accounts are with different financial
institutions including banks and brokerage.
• Puri started investing that money into stock
market through broking firms like Religare
• Hero Group also has invested in the scheme.
 Disclosure of Fraud
• Customers started calling on other phone no
of bank regarding scheme.
• Bank AVP Bindu Soman lodged a complaint.
• Puri was arrested then and still on remand in
police custody till 28th jan.
• Bank decided to compensate principle amount
to the victims.
 Why does an employee fraud??
• Is it greed for material gains or thrill of beating
the system????

• To prove that one is smarter than the system

in place.
 Prevention of fraud??
• It is more about creating a culture, which
promotes ethical and moral behaviour.
• Zero tolerance to fraud.
• A hotline where people can call in and an email
id.
• Effective whistle blower mechanism
• Employees’ vigilance can prevent large-scale
frauds and process breaches. 
Thank You