Kochi: Reports have surfaced alleging that 1,425 Malayalis defrauded the Gulf Bank in Kuwait of ₹700 crore by taking loans and fleeing to foreign countries without repayment. Among the accused is a resident of Kumarakom in Kottayam, who alone is alleged to have defrauded the bank of over ₹1.1 crore. Bank officials visited Kerala, met with senior police officers, and filed a complaint regarding the fraud.

Currently, 10 cases related to the fraud have been registered in Kerala, with cases filed against 10 individuals identified so far. The allegations include against over 800 individuals who previously worked as nurses with the Ministry of Health in Kuwait and Malayalis employed in Kuwait government service.

In the case of the Kumarakom resident, a police investigation has been initiated. According to the police, the individual took a loan of 33,777 Kuwaiti Dinar (approximately ₹1.1 crore) from the Gulf Bank on December 9, 2021. The loan, with interest amounting to 39,566.390 Kuwaiti Dinar, was not repaid, and the individual allegedly fled to India.

The fraud reportedly began between 2020 and 2022, with small loans initially taken and repaid promptly to build trust. Larger loans, amounting to as much as ₹2 crore, were then taken before the individuals fled to Kerala and other foreign countries. When repayments stopped, the bank initiated an investigation, uncovering the fraud. The bank believes more Malayalis exploited loopholes after observing earlier cases of fraud, potentially with the involvement of agents.

The deputy general manager of the Gulf Bank in Kuwait lodged the complaint in Kerala. Cases have been registered in Ernakulam and Kottayam districts. Although the fraud occurred in Kuwait, Indian law permits cases to be filed against individuals who commit such acts abroad and return to India. The cases have been handed over to the Crime Branch, and the investigation is being led by the Southern Region Inspector General of Police.