New Delhi, March 1 -- Earlier this month, IDFC First Bank reported it had been the victim of a fraud in which four of its current and former employees connived to siphon off Rs.590 crore from the bank account of a Haryana government department. The theft was uncovered when the department tried to close its account with the bank and found a discrepancy between the account balance in its records and the actual balance.

While the Haryana government subsequently said it had recovered all its money, the incident underscores the risks of banking fraud, especially as the number of digital transactions increase, enabling new methods of fraud.

Indian banks reported 11,615 cases of fraud involving Rs.3,497 crore in 2024-25. Both figures were lowe...