Look out notice against RBI deputy governor K C Chakrabarty may stay

The Central Bureau of Investigation (CBI) may not withdraw the look out circular against K C Chakrabarty, former deputy governor at Reserve Bank of India, for some time as investigation in a forgery case continues.

The CBI had issued the LOC in connection with a 2016 forgery case filed by the Indian Overseas Bank against a Delhi-based travel company — Airworth Travels & Tours Pvt Limited, its promoters and ‘unnamed public servants’.

CBI sources said he has been questioned by the CBI in Indian Overseas Bank case. The probe is not complete yet and he is not allowed to leave India, the sources said. 

Sources familiar with the developments said Chakrabarty wants to resolve the issue amicably.

The bank has accused them of “…cheating, forgery of valuable securities, forgery for the purpose of cheating, using forged documents as genuine…” and public servants of “abuse of official position”, thereby dishonestly causing a loss. A look out circular is used to monitor and prevent the entry or exit of persons who may be required by law enforcement authorities.

The FIR registered by the CBI in the case does not name Chakrabarty. He was scheduled to go to London from Mumbai airport on May 1. 

He had requested withdrawal of the look out circular, so that he can travel to London, where he is now settled. 

CBI sources said there have been instances in the past where people against whom look out circular has been issued went abroad and never returned. This has hampered the investigation. Because of this, the circular is in place for all those who remain on the radar, as a precautionary step, the sources added.