CBI Files Case Against Former Bank Employee in Nagpur for Fake Tax Refund Scheme

31 1 minute read

The Central Bureau of Investigation (CBI) has initiated a case against former Canara Bank employee Rattandeep Borkar for allegedly operating a fraudulent tax refund scheme by misusing his previous access to the bank’s systems. This fraudulent activity was uncovered during an investigation by the Income Tax Department, revealing false TDS (Tax Deducted at Source) refund claims totaling over ₹1.26 crore.

According to the CBI’s First Information Report (FIR), Borkar had previously worked at Canara Bank and continued to utilize his active login credentials to access the bank’s systems illicitly after his departure.

Borkar is accused of identifying cases from the financial years 2011–12 to 2018–19 where TDS was deducted but lacked associated PAN (Permanent Account Number) details. He allegedly exploited this oversight by revising the TDS returns to include PAN numbers of 92 individuals known to him. The CBI alleges that refunds were issued in these names, with Borkar subsequently sharing the funds.

The fraudulent tax returns were submitted through Canara Bank branches located in Gandhi Nagar, Sitabuldi, Ramdaspeth, and Sadar areas of Nagpur. Reports indicate that many affected bank accounts belonged to senior citizens, who often lack PAN details, making them vulnerable to such scams.

The CBI FIR also references unidentified officials within Canara Bank, suggesting potential insider involvement in the fraud. Borkar is accused of manipulating critical files, including the original ‘conso’ file and unique token numbers, using file validation and return preparation tools. He allegedly forged signatures of bank officials and created counterfeit Form 27A to redirect the refunds to the accounts of his associates.

The fraudulent TDS refund claims were processed between July 2023 and September 2024. The Income Tax Department has since issued notices to individuals whose PAN numbers were exploited in the scam.

Ongoing investigations aim to identify additional individuals who may have participated in this fraudulent scheme. Stay tuned to know more about it and others only with us.