In a landmark ruling that underscores the long arm of justice, a Jaipur court has sentenced Alok Agarwal to seven years in prison and a hefty fine of Rs 5 lakh in a decades-old bank fraud case probed by the Central Bureau of Investigation (CBI). The verdict, delivered on February 26, 2026, by the ACJM (SPE Cases) in Jaipur, brings closure to a 1997 scam that defrauded Vijaya Bank of nearly Rs 5 crore.
The case originated from a tip-off received by the CBI on November 21, 1997, exposing a criminal conspiracy involving bank officials and private company directors. Key accused included Vijaya Bank’s branch manager S.R. Lalwani, M.R. Shetty, and directors S.S. Sharma and S.M. Agarwal from M/s Private Limited. Investigations revealed they had orchestrated fake transactions through shell companies, siphoning off funds without any real goods or services.
The fraudsters routed the money through multiple channels, eventually converting it into cash via their employees. This elaborate scheme netted the perpetrators Rs 4,99,71,944, leaving the bank with equivalent losses. After meticulous investigation, the CBI filed a charge sheet against S.M. Agarwal and Arun Agarwal on September 28, 2001, followed by a supplementary charge sheet naming Alok Agarwal on October 3, 2002.
The trial spanned years, marked by the death of S.M. Agarwal in 2016, leading to the closure of proceedings against him. Arun Agarwal was acquitted due to lack of evidence. However, the court found irrefutable proof against Alok Agarwal, holding him accountable for the brazen financial misconduct.
This conviction serves as a stern warning to those eyeing banking systems for illicit gains. The CBI’s persistent pursuit and robust evidence presentation ensured justice prevailed after nearly three decades, reinforcing public trust in anti-corruption efforts.