New Delhi [India], July 21 (ANI): The Ministry of Finance on Tuesday said bank frauds involving commercial banks and all-India financial institutions totaled Rs. 1,42,112 crore during the last five financial years, while recoveries from fraud accounts amounted to Rs. 6,389 crore during the same period.
In a written reply to a question in the Rajya Sabha, Minister of State for Finance Pankaj Chaudhary said the figures are based on data provided by the Reserve Bank of India (RBI). The data covers commercial banks, including public sector banks (PSBs), private sector banks, foreign banks, small finance banks, payments banks, local area banks and all-India financial institutions.
Responding to questions on the total value of bank frauds and the amount recovered, the minister said recovery from accounts classified as fraud is an ongoing process. According to RBI data, banks have recovered an aggregate of Rs. 6,389 crore from such fraud accounts over the last five financial years.
On action taken against willful defaulters, the minister said the RBI does not maintain information on action initiated against such borrowers. However, based on data reported by public sector banks, significant legal and recovery measures had been undertaken as of March 31, 2026.
The government said PSBs have filed 15,577 recovery suits against willful defaulters. In addition, action under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act has been initiated in 10,894 cases, while 7,173 First Information Reports (FIRs) have been filed against willful defaulters.
The minister further said public sector banks had recovered an aggregate of Rs. 52,360 crore from willful defaulters as of March 31, 2026, reflecting continued efforts to recover dues through legal proceedings and enforcement mechanisms. (ANI)
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