Axis Bank Fraud

About Axis Bank Fraud

Axis Bank, one of Indias largest private banks, faced a major fraud investigation in 2018. Employees at a Chandigarh branch had allegedly connived with customers to convert old currency notes into new ones after Indias demonetization in 2016. The fraud involved approximately 100 crore. Several Axis Bank employees were arrested. The Enforcement Directorate investigated money laundering charges. The Reserve Bank of India imposed restrictions on the branch. Axis Bank was not the only bank affected. Similar fraud was discovered at other banks including ICICI and HDFC. The case highlighted the systemic risk of corruption in Indian banking during demonetization. Axis Bank paid fines and strengthened internal controls but suffered reputational damage.