Visakhapatnam: Bank frauds to be monitored

Visakhapatnam: Central Vigilance Commission (CVC) has advised that Chief Vigilance Officers (CVOs) of the Public Sector Banks (PSBs) to personally monitor the cases relating to frauds of Rs one crore and above. The frauds perpetrated with a criminal intention by any bank official, either alone, or in collusion with insiders or outsiders should be monitored and ensure that departmental action is completed within a period of 4 months from the date of issue of chargesheet.

Replying to a question raised by Vizag MP K. Haribabu of BJP during the ongoing parliament session on Friday, Union Minister of State for Finance Santosh Kumar Gangwar said that CVC has also prescribed monetary limits to be followed while referring financial fraud investigations to the Banking Securities and Fraud Cell (BS&FC) unit of the Central Bureau of Investigation (CBI) and the state police.

Accordingly, cases of Rs 3 crore and above are to be referred to specified branches of CBI whereas all cases below Rs 3 crore are to be referred to the Local/State Police. In all cases of fraud, the bank undertakes an investigation and takes action including fixing of the staff accountability as per the applicable disciplinary rules.