Prime accused in Rs 300 cr bank scam arrested in Vrindavan living as a sadhu

The main suspect in the Rs 300 crore Jijau Masaheb Multi-State Bank scam, which was uncovered in Maharashtra last year, has been arrested while hiding in Vrindavan under the guise of a sadhu, reported TOI.

On September 25, the Maharashtra police’s crime branch, in collaboration with local authorities, apprehended Babban Vishwanath Shinde and brought him back to Maharashtra after securing a remand from the local court, according to Mathura SP (city) Arvind Kumar.

According to the TOI report, Shinde is accused of embezzling Rs 300 crore from Jijau Masaheb Multi-State Bank by enticing individuals with promises of high interest rates on their deposits. He persuaded them to invest their money across four branches of the cooperative bank. A total of five cases have been registered against him in the Beed and Dharashiv districts, as stated by a Maharashtra police officer.


ET had earlier reported that banks are implementing stricter background checks for customers seeking to open accounts through digital channels. While this practice has typically been associated with credit account approvals, it is now being extended to deposit accounts as well, according to sources familiar with the matter.

This initiative comes as banks work to eliminate mule accounts—those that receive funds from illegal sources or fraudulent transactions. During a meeting on July 3, Reserve Bank of India Governor Shaktikanta Das urged bank executives to intensify their efforts against these accounts, according to the ET report.

“Some of the largest banks in the country could be processing around Rs 300-400 crore worth of fraudulent transactions through mule accounts on a monthly basis; for mid-tier banks, the amount could be around Rs 50-100 crore. This is becoming a serious problem for banks as digital payments become more ubiquitous,” a senior banker with a private sector bank told ET.

The regulatory and government push has prompted banks to increase their scrutiny on accounts opened via their online platforms.