Business Standard

Post office held liable for fraud by its official

The Supreme Court noted that KVP Rules, 1988, and the Post Office Savings Bank Manual mandate payments exceeding Rs 20,000 be made via cheque in holder's favour


Jehangir B Gai
Pradeep Kumar and Raj Rani had invested in Kisan Vikas Patra (KVP). The combined maturity value was Rs 32.6 lakh. The scheme allows investors to cash out at a lower value once the initial lock period ends.

In February 2000, Kumar and Rani requested the postal department to transfer the KVPs to the Chowk Post Office in Lucknow. The procedure was explained to them. They were told it would be cumbersome to carry out the procedure on their own. They were advised to enlist the help of an agent named Rukhsana.

The officials informed she had fifteen years’ experience,
Disclaimer: These are personal views of the writer. They do not necessarily reflect the opinion of or the Business Standard newspaper

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First Published: Mar 27 2022 | 10:36 PM IST

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