Revamped board on bank frauds examines 3 cases

Jt Director CBI to make a presentation to the Board next week

The Reconstituted Advisory Board on Bank, Commercial and Financial Frauds (ABBCFF) has so far looked into three cases and has given its recommendations, since it was reconstituted few months back.

Speaking on the sidelines of a training programme for Women Directors, Ranjana Kumar, chairperson, ABBCFF said, "We had three cases and they were considered and recommendations were given on those."

She declined to give details of the cases and the recommendations. According to her, one-time technological frauds were high, but have been curned to a large extent.

When asked about corporate frauds, she said, "It is another cup of tea".

 
The ABBCFF forms part of the organisational infrastructure of the Central Bureau of Investigation (CBI). The Reserve Bank of India (RBI) provides the needed investigative and secretarial services along with necessary funds, the CVC order reconstituting the Board states.

Last September, the Central Vigilance Commission (CVC) reconstituted the Board.

"We are trying make it more active," Kumar said, adding that the Indian Banks Association (IBA) Chairman has already given a presentation and next week Joint Director of CBI is scheduled to give his.

Kumar said she held a meeting with RBI Governor, who in turn also felt that fraud-related cases should come down. The Board, which has ex-bankers, IPS, IAS and other professionals, will soon rope in Chartered Accountants as well.

The ABBCFF’s jurisdiction would be confined to those cases where the CBI wants to register an enquiry against an alleged fraud disagreeing with the views of the bank/public sector undertaking/financial institution.

In the case of a bank the alleged fraud may in a loan account or financial/commercial fraud in the case of a PSU/financial institution.
 
"We don't have power for integration, we are just an advisory Board and the advice tendered by the ABBCFF is not binding on CBI," she clarified.