Surat Man Wanted To Withdraw Rs 10,000. ATM Glitch Gave Him Rs 3 Lakh

What started as a simple attempt to withdraw Rs 10,000 from an ATM in Gujarat's Surat has turned into one of the costliest cash-dispensing errors for a bank in recent times. 

Nine years, countless emails, and a long trail of complaints later, Bank of Baroda now finds itself paying nearly 30 times the original amount.

The case dates back to February 18, 2017. A customer in Surat's Udhna area tried to withdraw Rs 10,000 from an SBI ATM. He inserted his card and entered the PIN, but the machine neither dispensed cash nor printed a receipt. A few moments later, he received a message saying Rs 10,000 had been debited from his account, leaving him shocked.

Repeated Complaints, But No Solution

The customer filed a written complaint at Bank of Baroda's Dumbhal branch on February 21. From March to May 2017, he followed up several times through email. He also reached out to the RBI and other authorities. In addition, he filed an RTI request with SBI to obtain CCTV footage. However, no authority gave him a satisfactory response. Finally, on December 20, 2017, he approached the consumer forum.

During the hearing, Bank of Baroda argued that the ATM belonged to SBI and that the transaction appeared "successful" in their records, so the bank was not responsible.

However, the consumer commission dismissed this argument and said the bank must provide solid proof related to the transaction. The commission also noted that as per RBI rules, the amount should have been refunded within five days, which the bank failed to do.

In its final order, the commission directed Bank of Baroda to:

• Refund the original Rs 10,000 with 9% annual interest
• Pay compensation of Rs 100 per day for the delay

As of February 26, 2026, the delay had reached 3,288 days. This pushed the compensation amount to Rs 3,28,800.

The bank was also ordered to pay Rs 3,000 for mental harassment and Rs 2,000 towards legal expenses.