An Aadhaar card bearing the name Mother Teresa, with a birth year of 1988 but featuring a blurred image of an elderly man around 80 years old, became the key to exposing a tractor loan scam that was spread across 6 different states.
This elaborate fraud targeted financial institutions, insurance companies, and unsuspecting farmers, using fake identities, forged documents, and fraudulent loan applications.
What initially appeared to be a minor case of document forgery was soon identified as a multi-state racket involving illegal tractor purchases, multiple loan frauds, and fake insurance claims.
The scam, which spread across six states, not only resulted in financial losses for lenders but also left many farmers unknowingly trapped in legal troubles.
Let’s dive deeper into how this scam operated, who was behind it, and how the authorities finally uncovered it.
How the Tractor Loan Scam Operated
Fake aadhar card, which seems to be a case of forgery, brings to light the scam spread across 6 states.
Here’s how the scam was operated:
1. Creating Fake Identities & Aadhaar Cards
The gang used forged Aadhaar cards with mismatched details to manipulate various financial schemes.
One such instance involved Vinod Kumar, the mastermind behind the scam, who used his father’s image but altered the details to make him appear 20 years younger on the Aadhaar card.
This manipulation allowed him to qualify for the Pradhan Mantri Jeevan Jyoti Yojana, a scheme he was otherwise ineligible for.
Similarly, he used multiple fake identities to fraudulently obtain rural development loans intended for genuine farmers.
2. Fraudulent Tractor Purchases
Using these forged documents, the gang applied for loans to purchase tractors. However, they never transferred ownership to the lender. This loophole in the system makes it easier for them to apply for the RC of a vehicle.
3. Filing False Theft Report
Later, they filed false theft reports with the police, which helped them waive off the loan amount entirely.
Before filing the report, they transferred the tractor to another city or state to avoid detection.
4. Selling Tractors in Illegal Markets
Once the loan gets waived off, they sell these tractors in the unauthorized mandis of Uttar Pradesh. These tractors were sold to the farmers who raised the fewest questions on paperwork.
5. Recycling Tractors for Multiple Loans & Insurance Fraud
In this way, the gang repeatedly used the same tractor to take multiple loans and file fraudulent insurance claims.
They also created fake insurance papers to claim compensation from financial institutions multiple times.
What the Police Investigation Revealed
In an investigation, police seized 32 tractors and 16 fake RCs from Modhopur village in Amroha, Uttar Pradesh.
Vinod Kumar, the mastermind behind the scam, was arrested along with other gang members
In the interrogation, he revealed that he used a fake ID of his father to purchase three vehicles, including one tractor.
Further investigation revealed the involvement of the Tehsil president in the scam who might have helped in facilitating fake documentation, enabling loan approvals, and other linked tasks.
Details also revealed that the tractors were purchased using different IDs from Odhisha, Bihar, Chhattisgarh, West Bengal & Assam. These tractors were then moved to UP and sold to farmers in illegal mandis.
A Scam That Exposed Major Loopholes
This tractor loan scam showed how loopholes in loan approvals, Aadhaar verification, and financial systems can be easily misused.
By using fake identities and forged documents, the gang repeatedly took loans and claimed insurance on the same tractors, causing huge losses to banks and insurance companies.
With the arrest of Vinod Kumar and his team, the scam has been stopped, but it highlights the need for better verification processes and stricter rules.
To prevent such frauds in the future, banks and authorities must improve identity checks, track vehicle ownership more closely, and work together across states.
This case is a lesson for financial institutions to stay alert and protect farmers, insurers, and lenders from such organized fraud.
