The Mumbai Police’s Economic Offences Wing (EOW) has arrested builder Dharmesh Jayantilal Paun and Hitesh Mehta, the general manager of New India Citizen Cooperative Bank, in connection with a massive fraud case worth Rs 122 crore. The case has drawn attention due to the involvement of high-ranking individuals within the banking and construction sectors.
The investigation began after a complaint was filed by Devarshi Shishirkumar Ghosh, the acting chief accounting officer of the bank. According to officials, Mehta, who held a crucial position at the bank, misused his authority in collaboration with an unidentified accomplice to siphon off funds over a period of time. The fraudulent activities are believed to have occurred between May 2019 and January 2025.
The financial misconduct involved large sums of money being transferred illegally, with a significant portion, amounting to Rs 70 crore, sent to builder Dharmesh Paun. Further investigations revealed that between May and December 2024, Paun received Rs 1.75 crore, and an additional Rs 50 lakh was transferred to him in January 2025. The authorities suspect that the transactions were intended to conceal the true extent of the fraudulent activities and to launder the stolen funds.
The fraud was uncovered when Ghosh raised alarms about discrepancies in the bank’s accounts. Acting on his complaint, the police registered an FIR and initiated an investigation into the matter. In the course of their inquiry, the EOW arrested Mehta on Saturday, followed by Paun’s arrest on Sunday. Both individuals underwent medical examinations and were subsequently presented in court, where they were remanded to police custody until February 21, 2025.
The authorities are now focused on tracing the stolen funds and identifying all individuals involved in the operation. They suspect that large cash withdrawals from the bank’s Prabhadevi and Goregaon branches may be linked to the fraudulent transactions. Additionally, the police are investigating the possibility that other bank employees were complicit in the scam, further expanding the scope of the investigation.
At present, the EOW has intensified efforts to uncover the full scale of the fraud, and more arrests are expected as the investigation progresses. The involvement of a prominent builder and a bank manager in such a large-scale financial crime has raised serious concerns regarding the security and oversight of financial institutions.
Authorities have assured the public that they are committed to addressing the issue thoroughly and holding all those responsible accountable. The case highlights the growing concerns over the misuse of power and the importance of stringent checks and balances in both banking and construction sectors.
As the investigation continues, the police anticipate further developments and possible additional arrests, which may help to shed light on the full scope of the fraudulent operation. The EOW’s prompt action in apprehending the suspects has been a step towards ensuring that financial crimes of this magnitude do not go unchecked. The authorities have also urged other potential victims of similar frauds to come forward and assist in the investigation.
