MobiKwik Reports INR 40 Crore Fraud, Recovers INR 14 Crore So Far

Between September 11 and 12, some registered merchants and users cheated the publicly traded fintech business MobiKwik out of INR 40 Cr. The business alleged in an exchange filing that certain users and merchants from a few Haryana regions conspired to obtain an “unfair monetary advantage” by stealing money from the company.

According to the corporation, arrests have also been made after it filed a formal complaint in Gurugram. It further stated that all bank accounts where the illegal settlements were credited have been debit-frozen and lien-marked by the law enforcement agencies.

According to preliminary data, the FIR was filed for INR 40 Cr as a risk mitigation strategy; the corporation has collected about INR 14 Cr of that amount. Therefore, INR 26 Cr is the expected net impact. In order to recover the entire sum over time, the corporation is pursuing a legal course of action in addition to aggressive collection efforts.

Police’s Action Mode in Mobikwik Fraud Case

The Indian Express said that the Gurugram Police claimed that 2,500 accounts were used in the fraud. These accounts were located and placed on hold. In addition, six others were detained on suspicion of being involved in the case. MobiKwik has already dealt with a fraud case within the organisation.

The company said in March that a former employee had changed the names of the merchants in order to steal INR 1.3 Cr from its books between August 2023 and September 2024. Through its smartphone app, the fintech startup offers merchants and consumers payment solutions. Credit cards, fast loans, UPI payment systems, payment gateways, point-of-sale devices, and soundboxes are among its products.

Current Financial Performance of MobiKwik

In terms of finances, the company’s operating revenue fell 20.7% from INR 342.3 Cr in the previous quarter to INR 271.4 Cr in Q1 FY26. In the period under review, its net loss increased six times to INR 41.9 Cr from INR 6.6 Cr in the first quarter of FY25. The lending business was impeded by the new RBI norms, which resulted in a decline in financial performance.