CBI Investigates Major Post Office Savings Fraud in Bharuch Division
Ahmedabad: In a shocking financial scandal, the Central Bureau of Investigation (CBI) has registered a case against twelve postal officials and associates for allegedly misappropriating approximately Rs 2.81 crore from small savers' deposits in the Bharuch division. The funds, intended for Post Office Savings Bank (POSB) accounts, were reportedly diverted through internal postal employee accounts instead of reaching the designated government accounts.
Details of the Alleged Scam and Modus Operandi
According to the First Information Report (FIR) filed by CBI Gandhinagar, the fraudulent activities occurred between August 2024 and December 2025 at the ONGC Colony sub-post office in Bharuch. The accused individuals include sub-postmasters, postal assistants, postmen, and multi-tasking staff. The primary suspect, Yasin Ghanchi, who served as the sub-postmaster during the period, is alleged to have collected deposits from customers through authorized agents and then rerouted the money using internal postal savings accounts.
The complaint, lodged by the superintendent of post offices for the Bharuch division, indicates that fifty-six POSB accounts, predominantly under the time deposit scheme, were impacted by this scheme. The FIR explicitly states, "The amounts deposited by investors were not credited into their designated government accounts. Instead, the deposits were made into POSB accounts of departmental officials involved in the case, and thereafter transferred through digital modes to accounts linked with the accused."
Manipulation of Banking Systems and Digital Transfers
CBI officers revealed that entries were fraudulently recorded in the Finacle core banking system to create the illusion that the money had been deposited into the investors' accounts. In reality, the actual funds were diverted elsewhere within the postal banking network. Investigators further alleged that in some instances, passbooks were issued to depositors even though the corresponding balances were not secured in the intended accounts, misleading savers about their financial status.
The FIR elaborates on the misuse of official position, noting, "The accused public servant, by misuse of his official position and system access, manipulated transactions and utilised other postal savings accounts to divert government money." Deposits collected through agents were sometimes accepted without issuing the prescribed receipts, and cheques received from customers were allegedly encashed, with the proceeds being diverted.
The diverted sums were first credited to POSB accounts of colleagues and then transferred via Unified Payments Interface (UPI) platforms, such as Google Pay, to accounts associated with the main accused. This use of postal savings accounts belonging to employees formed a critical component of the alleged modus operandi, with funds moving exclusively within the postal banking system before being digitally transferred onward, thereby creating multiple layers within departmental accounts. One joint POSB account mentioned in the FIR reportedly received over Rs 15 lakh before further transfers were executed.
Discovery of Irregularities and Legal Proceedings
The irregularities came to light following an internal alert in December 2025, which flagged certain suspicious transactions. A preliminary verification uncovered discrepancies between passbook entries and the balances reflected in the core banking data. The FIR also notes that supervisor credentials were utilized to authorize some of the transactions under investigation.
The case has been registered under relevant provisions of the Bharatiya Nyaya Sanhita and the Prevention of Corruption Act. Prior approval under Section 17A of the Act was obtained before proceeding against the serving officials, ensuring compliance with legal protocols.
Ongoing Investigation and Future Scrutiny
CBI officials have stated that the investigation will meticulously examine transaction trails within POSB accounts, digital transfer records, and the role of each accused in permitting their accounts to be used for routing funds. Further scrutiny is underway to determine whether additional accounts within the postal system were involved and to quantify the total diversion, potentially exceeding the amount cited in the FIR.
This case underscores significant vulnerabilities in the postal savings system and highlights the need for enhanced oversight and security measures to protect small investors' funds. The CBI's probe aims to bring accountability and justice to those affected by this alleged corruption.
