{
  "id": 14280808,
  "title": "Madhya Pradesh Excise Department Shifts To E-Bank Guarantees After Fake FDR Scams, Tightens Liquor Shop Licence Process",
  "url": "https://urgent.news/2026/10/13/madhya-pradesh-excise-department-shifts-to-e-bank-guarantees-after",
  "topic": "world",
  "section": "World",
  "published": "2026-10-13T19:33:00.000Z",
  "source": {
    "name": "Free Press Journal",
    "slug": "free-press-journal",
    "url": "https://www.freepressjournal.in/bhopal/madhya-pradesh-excise-department-shifts-to-e-bank-guarantees-after-fake-fdr-scams-tightens-liquor-shop-licence-process"
  },
  "original_language": "en",
  "account": "Bhopal, Madhya Pradesh - Recent fake and fabricated fixed deposit receipt (FDR) scams have prompted the state excise department to adopt e-bank guarantees for liquor shop licences. Excise commissioner Deepak Saxena announced that the innovative system will prevent deposit duplication and avert potential legal complications. Starting from the financial year 2025-26, Madhya Pradesh becomes the first Indian state to utilize this method in participating in tender processes for liquor shop licences. The move aims to eliminate any duplication of deposited amounts.\n\nThe excise department is not the first to face such challenges; the Economic Offences Wing (EOW) and the Enforcement Directorate (ED) have registered various cases against officials and contractors for alleged involvement in such scams. While a small number of cases related to departmental cheating come to light, numerous fraudulent activities likely occurred within the contract procedure and went unreported due to the involvement of numerous state excise officials.\n\nIn 2025, the Enforcement Directorate conducted raids on liquor contractors across the state, part of its investigation into an alleged fake challan excise scam. During the operation in Indore, Bhopal, and Mandsaur, the agency seized Rs 7.44 crore in cash, froze Rs 71 lakh in bank accounts, and recovered sealed bank lockers, as well as objectionable documents and property papers worth crores. The scam is believed to be connected to fake treasury challans and illegal liquor licences, with potential losses to the government exceeding Rs 49 crore.\n\nA similar fraudulent scheme emerged in 2020, where contractors submitted false FDRs exceeding Rs 56 crore over the past four years. The cheats converted proofs showing Rs 7,000 FDRs into Rs 70 lakh, a scam uncovered in Indore and Jabalpur, and Bhopal.",
  "summary": "Bhopal (Madhya Pradesh): Following several cases of fake and fabricated fixed deposit receipts (FDRs) being used to obtain liquor shop licences, the state excise department has shifted to e-bank guarantees to prevent such fraud, officials said. Excise commissioner Deepak Saxena said the new system would prevent duplication of deposits and help the department avoid legal complications. The state…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}