Delhi ATM Scam: ₹100 Withdrawal Dispensed ₹500 Notes, Bank Loses ₹8 Lakh in Shocking Fraud

A bizarre case of ATM fraud has surfaced in Harsh Vihar, North East Delhi, where a mistake—or deliberate act—during cash loading caused a massive financial loss of ₹8 lakh. Instead of dispensing ₹100 notes, the ATM gave out ₹500 notes — and 112 ATM cardholders took full advantage.


What Went Wrong?

According to police and company sources, the issue began when two custodians from the ATM cash loading company mistakenly (or fraudulently) placed ₹500 notes in the ₹100-note tray, and ₹100 notes in the ₹500-note tray. They then intentionally jammed the ₹100 tray, ensuring it wouldn't dispense.

The result:
People who pressed the button to withdraw ₹100 received ₹500 instead.


How the Fraud Was Busted

The misplacement happened on 29 April 2025, and the scam continued undetected until 1 May, when company staff visited the ATM for a routine audit and cash reload. A mismatch in cash balance raised immediate red flags.


Modus Operandi

  • ₹31 lakh was being loaded into the ATM.

  • 2,000 notes of ₹500 were placed into the ₹100 slot.

  • The original ₹100 notes were stuffed into the ₹500 slot, but the tray was left slightly open to block withdrawal.

  • 112 cardholders, allegedly in contact with the custodians, were tipped off and made repeated withdrawals, exploiting the machine error.

  • Each transaction meant a person withdrew ₹500 while their account was debited only ₹100 — a direct ₹400 gain per withdrawal.


Police Action & Company Allegations

  • The branch manager of the cash-loading firm has filed a complaint.

  • A case has been registered against the two custodians under criminal breach of trust and fraud.

  • One of the custodians has claimed it was a mistake, blaming illness and urgency. The company, however, alleges intentional tampering and a pre-planned scam.


What Happens Next?

  • Police are investigating the involvement of all 112 cardholders who benefited from the mix-up.

  • The company may pursue legal action or attempt to recover the lost ₹8 lakh.

  • If proven intentional, the custodians could face serious legal consequences, including jail time.