Jaipur, February 27: In a significant ruling, the Central Bureau of Investigation (CBI) has secured a conviction in an old bank fraud case, with the Additional Chief Judicial Magistrate (ACJM) in Jaipur finding Alok Agarwal guilty. On February 26, 2026, the court sentenced Agarwal to seven years of rigorous imprisonment and imposed a fine of ₹5 lakh. This case dates back to 1997, where Vijaya Bank suffered a loss of approximately ₹5 crore.
The CBI registered the case on November 21, 1997, based on a tip-off. Among the accused were the branch manager of Vijaya Bank, S.R. Lalwani, M.R. Shetty, and directors of Messrs Private Limited, S.S. Sharma and S.M. Agarwal. The investigation revealed that the accused conspired to take loans from the bank and misrepresented transactions with fake companies, leading to embezzlement of funds.
The accused utilized the money through various means, which was later withdrawn in cash by their employees and handed over to them. This fraudulent activity resulted in a wrongful gain of ₹4,99,71,944 for the accused, causing an equivalent loss to the bank.
Following the completion of the investigation, the CBI filed a chargesheet against S.M. Agarwal and Arun Agarwal on September 28, 2001. A supplementary chargesheet against Alok Agarwal was presented on October 3, 2002. During the lengthy trial, S.M. Agarwal passed away, leading to the cessation of criminal proceedings against him on December 1, 2016. The court acquitted Arun Agarwal due to lack of evidence.
After the trial, the honorable court found Alok Agarwal guilty and pronounced the sentence. This verdict exemplifies the CBI’s stringent action against bank fraud and misuse of funds, supported by robust evidence presented during the trial.
Bhupendra Singh Chundawat is a seasoned technology journalist with over 22 years of experience in the media industry. He specializes in covering the global technology landscape, with a deep focus on manufacturing trends and the geopolitical impact on tech companies. Currently serving as the Editor at Udaipur Kiran, his insights are shaped by decades of hands-on reporting and editorial leadership in the fast-evolving world of technology.