NEW DELHI: Punjab National Bank and Allahabad Bank may take a choice next month on additional motion to be taken against two government administrators and the MD charged within the Rs 14,000 crore Nirav Modi fraud case, assets said.
Soon after Central Bureau of Investigation (CBI) filed chargesheet in May pointed involvement of top officials of banks, PNB's board decided to divest two government administrators of all powers.
According to assets, PNB's board is scheduled to fulfill next month to decide about long term plan of action against its two government administrators K V Brahmaji Rao and Sanjiv Sharan.
The Allahabad Bank too would practice go well with, they said.
The CBI in its first chargesheet within the nation's greatest financial by way of Nirav Modi additionally detailed the alleged position of PNB's former leader Usha Ananthasubramanian, who is now Allahabad Bank CEO and MD.
The board of Allahabad Bank divested Ananthasubramanian from all her functional tasks after the first chargesheet in May itself.
Experts feel that for the reason that charges are limited to procedural lapses with none criminal intent, the board will take a decision in that light.
It is also noted that PNB has claimed that it did not obtain the most important electronic mail on combating bank frauds, which used to be sent by way of the Reserve Bank of India (RBI).
The directive, issued on November 30, 2016, mandated all industrial banks within the nation to support their risk keep watch over mechanisms to chase away banking frauds, used to be not won by way of PNB, as per the inner file of the bank.
Nirav Modi and his uncle Mehul Choksi, in connivance with sure bank officials, allegedly cheated PNB of about Rs 14,000 crore thru issuance of fraudulent Letters of Undertaking (LoUs).
A Mumbai department of PNB had fraudulently issued LoUs for the crowd of companies belonging to Nirav Modi since March 2011.
The general number of LoUs issued to the firms of Nirav Modi, his family and the Nirav Modi Group are 1,213, and to Mehul Choksi, his family and the Gitanjali Group are 377.
With regard to the provision made for the loss incurred on account of Nirav Modi fraud, the bank supplied Rs 7,178 crore, 50 per cent of the whole amount of Rs 14,356 crore within the fourth quarter of 2017-18.
The ultimate amount will be lined within the 3 quarters of the present fiscal yr.
PNB paid Rs 6,586.11 crore to other banks to discharge its liabilities in opposition to Letters of Undertakings (LoUs) and Foreign Letters of Credit (FLCs) issued fraudulently and in unauthorised method to sure out of the country branches of Indian banks throughout the misuse of SWIFT system of the bank, which used to be then not built-in with CBS (Core Banking Solution).
Soon after Central Bureau of Investigation (CBI) filed chargesheet in May pointed involvement of top officials of banks, PNB's board decided to divest two government administrators of all powers.
According to assets, PNB's board is scheduled to fulfill next month to decide about long term plan of action against its two government administrators K V Brahmaji Rao and Sanjiv Sharan.
The Allahabad Bank too would practice go well with, they said.
The CBI in its first chargesheet within the nation's greatest financial by way of Nirav Modi additionally detailed the alleged position of PNB's former leader Usha Ananthasubramanian, who is now Allahabad Bank CEO and MD.
The board of Allahabad Bank divested Ananthasubramanian from all her functional tasks after the first chargesheet in May itself.
Experts feel that for the reason that charges are limited to procedural lapses with none criminal intent, the board will take a decision in that light.
It is also noted that PNB has claimed that it did not obtain the most important electronic mail on combating bank frauds, which used to be sent by way of the Reserve Bank of India (RBI).
The directive, issued on November 30, 2016, mandated all industrial banks within the nation to support their risk keep watch over mechanisms to chase away banking frauds, used to be not won by way of PNB, as per the inner file of the bank.
Nirav Modi and his uncle Mehul Choksi, in connivance with sure bank officials, allegedly cheated PNB of about Rs 14,000 crore thru issuance of fraudulent Letters of Undertaking (LoUs).
A Mumbai department of PNB had fraudulently issued LoUs for the crowd of companies belonging to Nirav Modi since March 2011.
The general number of LoUs issued to the firms of Nirav Modi, his family and the Nirav Modi Group are 1,213, and to Mehul Choksi, his family and the Gitanjali Group are 377.
With regard to the provision made for the loss incurred on account of Nirav Modi fraud, the bank supplied Rs 7,178 crore, 50 per cent of the whole amount of Rs 14,356 crore within the fourth quarter of 2017-18.
The ultimate amount will be lined within the 3 quarters of the present fiscal yr.
PNB paid Rs 6,586.11 crore to other banks to discharge its liabilities in opposition to Letters of Undertakings (LoUs) and Foreign Letters of Credit (FLCs) issued fraudulently and in unauthorised method to sure out of the country branches of Indian banks throughout the misuse of SWIFT system of the bank, which used to be then not built-in with CBS (Core Banking Solution).
PNB, Allahabad Bank may decide on further action against EDs, MD
![PNB, Allahabad Bank may decide on further action against EDs, MD]()
Reviewed by Kailash
on
July 22, 2018
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