Punjab Court Sentences Former Postmaster to 18 Months for Fraud Involving ₹16.56 Crore

Mohali, September 21 (Daily Kiran) : A special court in Mohali has sentenced a former sub-postmaster from Jalandhar to 18 months in prison for his involvement in a ₹16.56 crore fraud case. The Enforcement Directorate (ED) announced the verdict on Monday. Sanjeev Kumar, who served as the sub-postmaster in Nakodar, was found guilty of opening 54 fraudulent savings accounts, leading to significant public fund embezzlement.The court ruled on September 14 under the Prevention of Money Laundering Act (PMLA), confirming Kumar's culpability for money laundering under Section 3, which is punishable under Section 4. In addition to the prison term, the court imposed a fine of ₹50,000. If Kumar fails to pay the fine, he faces an additional three months of rigorous imprisonment. The ED initiated its investigation based on a FIR lodged by the CBI on February 1, 2018, which accused Kumar and others of misusing their positions to commit fraud and embezzlement.The inquiry revealed that Kumar allegedly caused a loss of ₹3.40 crore to the government by manipulating 41 savings accounts, resulting in a further loss of ₹2.79 crore, and misappropriating ₹1.89 crore from 51 recurring deposit accounts. Additionally, he fraudulently withdrew ₹8.48 crore from various accounts, including Public Provident Fund (PPF) and fixed deposit accounts. The ED’s statement indicated that the accused withdrew funds in cash and through multiple bank accounts operated by themselves and their associates.These illicit activities allowed them to amass a considerable amount of proceeds from crime (POC), which they used to maintain a lavish lifestyle, gamble, and purchase real estate. During the investigation, the ED provisionally attached movable and immovable assets worth ₹42 lakh on March 2, 2025, with the action later confirmed on August 20, 2025. The court also noted that the accused requested to settle the case through plea bargaining under the provisions of the Indian Citizens Security Code, 2023 (BNSC).The special court accepted this plea and convicted Kumar under the PMLA. Furthermore, the court directed that any amount recovered from Kumar would be payable to the postmaster general's office in Kapurthala. The affected department is also entitled to apply for the return of attached properties under the property restoration rules of 2016.