Jammu/Srinagar, October 4, 2025: The J&K Peace Forum has blown the lid off what could be the biggest banking fraud in the history of Jammu & Kashmir – loans sanctioned by J&K Bank against mere rent agreements, using the names of tenants occupying temple lands and religious properties.
“This is not banking negligence – it is an organized loot of public money,” said Satish Mahaldar, Chairman of J&K Peace Forum, who has already placed irrefutable evidence before the Court and relevant authorities.
• J&K Bank employees sanctioned loans without due diligence, bypassing mandatory safeguards.
• Supervisory bodies and auditors remained silent despite repeated red flags.
“This racket is not only financial malpractice,” Mahaldar declared.
“It is an assault on religious sanctity, a betrayal of millions of depositors, and a collapse of regulatory oversight.”
Demands from the RBI & Finance Ministry
- Immediate high-level probe into fraudulent loan sanctions.
- Public naming and shaming of every officer involved.
- Criminal prosecution of the nexus between bankers, officials, and beneficiaries.
- Structural reforms to safeguard public data, strengthen vigilance, and enforce transparent lending.
If such scams go unchecked, sacred institutions will be reduced to collateral for criminal profiteering, and India’s banking credibility will stand shattered before the world.
“This is a defining test for the Reserve Bank of India and the Finance Ministry. Will they act against this brazen fraud, or allow it to be buried in files?” asked Mahaldar.
The J&K Peace Forum has vowed to take this issue to the highest levels, warning that public trust in India’s banking system is at stake.
