What Led to the 5-Year Jail Sentence for Two in LIC Fraud?
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Synopsis
A Special CBI Court in Lucknow has sentenced two men to five years in prison for defrauding LIC of India of over Rs 15 lakh. The case involves complex fraudulent activities, shedding light on the vulnerabilities within financial institutions. The arrest of bank officials in a separate case highlights the ongoing battle against financial crimes. Discover more about this significant ruling.
Key Takeaways
- Two individuals were sentenced to five years in prison for a major LIC fraud.
- Fraudulent activities involved the creation of fictitious policies.
- CBI's investigation led to the conviction of the involved parties.
- Separate arrests were made concerning bank officials linked to cybercrime.
- Public trust in financial institutions is crucial for economic stability.
New Delhi, Dec 25 (NationPress) A Special CBI Court in Lucknow has imposed a five-year prison sentence on two individuals, along with a fine of Rs 12 lakh each, for defrauding the LIC of India of Rs 15.22 lakh in 2003 through deceptive transactions linked to 20 policies, according to an official announcement on Thursday.
The defendants, Braj Kumar Pandey and Manish Kumar Srivastava, were found guilty of criminal conspiracy by the Special Court, as stated by the CBI.
The Central Bureau of Investigation registered the case following allegations against Pradeep Kumar Pandey, who served as a Micro Processing Operator at the Career Agents Branch (CAB) of LIC in Gorakhpur. Between November 2001 and April 2003, he reportedly conspired with unknown accomplices to cheat LIC out of the substantial sum, benefiting himself in the process.
The investigation revealed that Pradeep Kumar Pandey exploited the passwords of branch officials to forge fictitious policy masters and create erroneous Salary Saving Scheme entries, facilitating fraudulent payments for 20 policies.
On January 10, 2007, the CBI submitted a charge sheet against Pradeep Kumar Pandey, along with five other individuals, including Braj Kumar Pandey, Manish Kumar Srivastava, Pankaj Kumar Rawat, Amar Nath Pandey, and Dhananjay Kumar Upadhyaya.
After the trial, the Special Court convicted and sentenced Braj Kumar Pandey and Manish Kumar Srivastava accordingly. However, two accused, Pankaj Kumar Rawat and Dhananjay Kumar Upadhyaya, were acquitted due to insufficient evidence, while Pradeep Kumar Pandey and Amar Nath Pandey passed away during the trial.
In a related case, the CBI announced the arrest of two bank officials on Wednesday who had allegedly opened mule accounts in collaboration with organized cybercriminals, which were subsequently used for illegal fund transfers and fraud.
The arrested individuals are Shalini Sinha, an Assistant Manager at Canara Bank, and Abhishek Kumar, a Business Development Associate at Axis Bank.
Point of View
It is evident that the judicial system is taking a strong stance against financial fraud. This verdict sends a clear message that such criminal activities will not be tolerated. The CBI's active role in investigating these cases reflects a commitment to safeguarding public trust in financial institutions. It is crucial for authorities to strengthen oversight to prevent future occurrences.
NationPress
25/12/2025
Frequently Asked Questions
What was the nature of the fraud committed?
The fraud involved deceptive payments under 20 policies, leading to a loss of Rs 15.22 lakh for LIC of India.
What punishment did the court impose?
The court sentenced the two accused to five years of imprisonment and a fine of Rs 12 lakh each.
Who were the main accused in the case?
The main accused were Braj Kumar Pandey and Manish Kumar Srivastava, along with Pradeep Kumar Pandey, who initiated the fraudulent activities.
What happened to the other accused?
Two of the accused were acquitted due to lack of evidence, while two others, Pradeep Kumar Pandey and Amar Nath Pandey, passed away during the trial.
Are there any ongoing investigations related to this case?
Yes, the CBI recently arrested two bank officials involved in opening mule accounts for cybercriminal activities linked to illegal fund transfers.
