Auto Loan Scam

Sarabjit Singh and Gurpreet were arrested in Kalkaji in South Delhi for running what police call a very intricate auto loan scam on many major banks. Police say that the accused managed to take Rs.80 million from several banks in fake auto loans before they were discovered. The two were arrested March 7th and are awaiting trial.

They are accused of stealing from Citibank, HDFC Bank, HSBC Bank, ICICI, ING Vyusa, Punjab National Bank, Stanchart Bank, State Bank of India, and UTI Bank. They made up fake companies and sold auto loans under the names of fake employees, under the heading of fictitious biotech and pharmaceutical companies. They then opened more than 200 banking accounts with fake identities claiming that they were salary accounts.

With these accounts, they made it look like people were using them, and then got auto loans through those banks. When one bank would come onto them, or they had used up all the auto loan credit they could get, they would move to another bank in another location. One of the banks discovered what they were doing and reported them, and now the pair is in police custody.

Citibank and HSBC were hit the hardest, with Citibank losing Rs.20 million and HSBC losing 20.7 million. They have already collected 133 debit and credit cards that the pair had applied for illegally, as well as 384 check books, 43 drivers licenses, and more than a thousand photos of people that they used for the different licenses and cards.

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