aspg-18-3048-1792025571 20261015005251 American Scientific Publishing Group admin@americaspg.com American Scientific Publishing Group Journal of Intelligent Systems and Internet of Things JISIoT 2769-786X 2690-6791 2024 13 2 Akhtar Hasan Jamal Khan Department of Computer and Business Management, Integral University, Lucknow, India Syed Afzal Ahmad Department of Computer and Business Management, Integral University, Lucknow, India This research paper explores the significant impacts of multiple loan fraud on Indian banks and financial institutions, emphasizing the resulting bad debts and financial losses. The issue is exacerbated in the real estate sector, where influential developers exploit system vulnerabilities to secure multiple loans using the same collateral. Consumers also face challenges in accessing credit due to these fraudulent practices. The study underscores the need for enhanced regulatory measures and internal controls within financial institutions. Additionally, it introduces IoTBlockFin, a decentralized system that integrates block chain and IoT technologies to securely assess customer reliability and mitigate fraud. IoTBlockFin's Advanced Proof of Work (APOW) mechanism, combined with IoT data for real-time monitoring, offers superior security, latency, and cost-effectiveness compared to centralized systems, as demonstrated by experimental results. 2024 256 271 3048 https://creativecommons.org/licenses/by/4.0/ 10.54216/JISIoT.130221 https://americaspg.com/journal/18/article/3048 https://americaspg.com/storage/11736426239.pdf