Frauds in the banking industry seem to be increasing at a heightened pace in recent times. With fraudsters coming up with frequent innovative methods of duping banks, cases of frauds related to fake title of deeds is on rise, inform officials from banks.

Cases like encashment of funds using forged instruments, negligence and cash shortages, increased valuation of mortgaged property, loans against forged FDRs, frauds arising due to deficiencies in housekeeping are amongst common frauds, said senior bankers.

"The maximum number of frauds is pertaining to fake title deeds. It is a major area of concern for all banks. The other big issue is that of impersonation of identity. There are some minor frauds also occurring on the Internet due to sharing of password," said Mr J.P. Dua, Chairman and Managing Director, Allahabad Bank.

Also, apart from frauds by external sources, internal frauds are also a matter of concern.

Regulator Reserve Bank of India is taking strict measures to curb the issue at the earliest. "Fraud by employees exceeding Rs 10,000 should also be reported to the police so that the person guilty of the offence does not go unpunished," the RBI said.