SAHIWAL – A massive financial embezzlement scandal has surfaced at a private bank in the Nur Shah branch, where a bank officer allegedly defrauded customers of Rs. 18.2 million, leaving dozens of account holders deprived of their life savings.
The Modus Operandi
According to reports, the accused officer, Khawar Shahzad, had been operating a “parallel banking system” within the branch. Appointed as a Personal Officer at the Nur Shah branch two and a half years ago, Shahzad allegedly exploited personal relationships with clients to gain unauthorized access to their accounts.
The fraud came to light when a customer, Kulsoom Bibi, attempted to withdraw Rs. 1.5 million—proceeds from the sale of her ancestral home—only to discover the balance had already been siphoned off. Similarly, a widow named Rani Bibi fell victim to the scam. The accused reportedly updated her account details with his own CNIC and contact number, issued a new ATM card, and withdrew her funds.
Shocking Findings from the Inquiry
Following a surge of complaints, the bank’s provincial administration appointed Senior Officer Faisal Butt as the inquiry head. The investigation revealed several startling tactics used by the accused:
Forgery: Shahzad used forged signatures and thumbprints to cash checks.
Betrayal of Trust: He gained customer confidence by offering “complimentary banking services” to handle their paperwork.
Private Transactions: The officer engaged in illegal, off-book transactions with local shopkeepers (including one Sajjad Kamyana) without issuing official bank vouchers.
Record Manipulation: The inquiry committee found evidence of altered fingerprints, misuse of checkbooks, and the unauthorized closing of accounts.
Allegations of Managerial Negligence
The investigation has also cast a shadow over the Branch Manager, Manzoor Chauhan. Allegations suggest that Chauhan ignored initial complaints and facilitated the suspect’s transfer to the Regional Office in Sahiwal to shield him from immediate scrutiny.
Suspect at Large
While the high-level inquiry committee has gathered solid evidence of the fraud, Khawar Shahzad went into hiding during the final stages of the internal investigation.
A large number of affected account holders are now protesting and looking toward the police and senior bank authorities for the recovery of their hard-earned money. Local authorities are expected to initiate formal criminal proceedings as the bank completes its internal audit.