19th September 2025: Star Union Dai-ichi Life Insurance (SUD Life), a joint venture between two leading PSU banks - Bank of India, Union Bank of India and Japan’s Daiichi Life, has successfully foiled the plans of a well-organised insurance fraud network in Bhavnagar, Gujarat, by preventing a false death claim.

The action reflects SUD Life’s zero-tolerance towards fraud and its commitment to protecting the integrity of the insurance sector and policyholders’ funds.

The fraudulent activity came to light when a death claim was filed under Policy No 02651367. This policy, issued on December 30, 2024, carried a death benefit of Rs 24 lakhs. The nominee, Ms. Shahin Mubarakbhai Sama, claimed that the life assured, Mr. Mubarakbhai Pirbhai Sama, had died on March 10, 2025.

However, a comprehensive investigation by SUD Life’s Fraud Control Unit (FCU) revealed that the life assured was in fact, alive.

FCU’s probe also brought to light several other irregularities. The life assured was found to be in possession of two voter identity cards with mismatched photographs.

Further, the addresses provided to SUD Life on the claim form did not belong to the claimant, but to one Vishal Parmar, who was based in Bhavnagar. FCU’s investigations discovered that vital documents such as Aadhaar, bank account, and income tax returns were recently created and updated for pursuing insurance claims.

The FCU team also met a doctor who had issued a consultant certificate and referred the insured person to another hospital. However, the doctor did not recognise the individual when his photographs from SUD’s records were shown.

Significantly, the squad also met the insured individual’s elder brother, who disclosed that Mr. Mubarakbhai Pirbhai Sama, who was supposed to be dead, was undergoing treatment for a brain tumour at a hospital.

After these findings, an FIR was filed by SUD Life at the Bhavnagar police station. Investigations conducted by the Bhavnagar Police found that the entire scheme was allegedly masterminded by Vishal Parmar, who ran an investigation agency under the names of VP Investigation Pvt. Ltd. and M/s V P Associates.

The investigation also uncovered that Vishal Parmar and his associates ran a racket that operated across the Insurance Industry and had allegedly been taking outsourcing assignments from multiple agencies across the country. In this process, they targeted people who are either terminally ill or relied on deaths of poor and illiterate citizens.

Parmar, along with the insured person, the nominee, and a middleman, was arrested by the Bhavnagar police on 10th of September 2025. They are still in custody.

Commenting on the development, Ashish Khunger, SVP - Audit and Fraud Control Unit at SUD Life said, "This case demonstrates the effectiveness of our robust fraud prevention & detection mechanisms and highlights the importance of collaboration with law enforcement authorities in dismantling organised criminal networks. SUD Life remains firmly committed to safeguarding our policyholders trust and preserving the insurance ecosystem from malpractices.”