SBI COMMITTED ANOTHER SCAM; NO LESSIONS FROM 70 MILLION PENALTY ON THEM BY RBI

SAGAR SURAJ

MOTIHARI: Laps in the internal systems in any financial institutions always makes easy the job of offenders to dupe such institutions. Offender might be insiders or outsiders, who takes advantages of such lapses while duping money.

This time the spot lights of fraud has been focused on a branch of state bank of india (SBI) in Motihari and the scam is understood to be in millions.

While officials of state bank of India is yet to came up to confirm or deny the reports officially , the officials requesting anonymity told that as many as nine top officials of Motihari main branch of SBI has been put on suspension after reserve bank of India detected the fraud being committed post demonetization.

According to reports, after RBI instruction, including the regional bank manager (RM),chief manager (CM),chief manager admin, accountants officers have been suspended sending the officials of this top nationalized bank in India in to tizzy.

If officials are to believed the faux pas of SBI committed while exchanging damage India currency at the time of demonetization. The authorities concerned is reported to have exchanged the damaged notes on high deduction from clients and returned the currency to RBI on the equal face values and the margins of which had allegedly been shared by all the officials in hierarchy.  

RBI had ordered an inquiry after sensing fraud post demonetization and bank too had conducted an independent inquiry and detected the fraud committed in the said branch.   

Inquiring authorities sealed the bolt of such notes and indicated action against 12 more officials alleged to have nexus in the scam, the officer said. The inquiring authorities seizing the mobile phones of all the suspects have been inquiring the other aspects of the fraud. Zonal manager level officers are camping in Motihari but evading media questions.

Chief general manager (CGM) of RBI Yogesh Dayal few months back had issued an order imposing 70 million penalty on State Bank of India for non-compliance with the directions issued by RBI potential fraud risk managements and classification and reporting of frauds. This penalty has been imposed in exercise of powers vested in RBI under the provisions of section 47A (1)(c) read with sections 46(4)(i) and 51(1) of the Banking Regulation Act, 1949 (the Act).

After considering the bank’s reply and oral submissions made in the personal hearing, RBI came to the conclusion that the aforesaid charges of non-compliance with RBI directions were substantiated and warranted imposition of monetary penalty.