Bengaluru, May 13: A serious question is now being raised over whether banks, which were expected to support people during the Covid crisis, instead exploited the hardships of customers for profit. Amid growing public anger against the private banking sector, major allegations have surfaced against Bandhan Bank.

Customers have alleged serious irregularities in loan accounts that were placed under the Covid moratorium scheme. Several borrowers claim that although they had only five months of pending dues, the bank extended the repayment period by 12 months and imposed compound interest on top of it. Customers have also accused the bank of creating confusion by providing only annual statements instead of detailed monthly statements when requested.

Major discrepancies have reportedly been found between repayment records and loan statements, raising suspicions of document manipulation and possible forgery. Some customers have further alleged that certain bank documents lacked proper banking details and transparency.

More alarmingly, it is alleged that customer account information was manually altered in the bank’s backend system. According to reports, the Reserve Bank of India has mentioned such irregularities in its findings. There are also allegations that audit trail logs were concealed, further intensifying concerns over the case.

Following accusations of violations of banking regulations, the Reserve Bank of India has already imposed a penalty of Rs 43 lakh on the bank. An NCR has also reportedly been registered at a police station in connection with the matter.

Between February 2025 and September 2025, as many as 5,313 banking-related complaints involving fraud and account irregularities were reportedly registered in consumer forums across the state, increasing public concern and distrust.

Victims have demanded a comprehensive investigation into the matter, stating that if people cannot safely trust banks with their hard-earned money, confidence in the entire banking system will collapse.

There is now growing pressure for a full-scale probe to uncover the truth behind these allegations.