AIBOC to protest investigative role being thrusted on banks

All India Bank Officers' Confederation (AIBOC) has registered a protest to RBI on bank officers being assigned investigative role for customers depositing in excess of Rs 5,000, and demanded complete withdrawal of the order as the staff are facing public wrath.
Even as RBI partially modified its deposit guidelines, the union will be holding demonstrations all over the country in front of Reserve Bank of India offices later today to press for withdrawal of the notification.
The RBI today modified guidelines saying KYC compliant account holders can deposits more than Rs 5,000 in old currency notes without being questioned by bank officials.

Earlier this week, the RBI issued a notification directing banks to conduct due diligence of customers who wish to deposit more than Rs 5,000 in old currency till December 30.
"The credit in such cases shall be afforded only after questioning tenderer, on record, in the presence of at least two officials of the bank, as to why this could not be deposited earlier and receiving a satisfactory explanation," RBI had said.
"The instructions issued vide the RBI communication dated December 19 must be withdrawn forthwith as the banker shall not carry out the duties of CBI/ED/IB at the busy counters," AIBOC General Secretary Harvinder Singh said in a representation to RBI Governor.

No accountability should be fixed on the bank officers in this respect as they are thrust with a role not expected of them, it added.

"Having demanded this, we strongly feel that withdrawal of the instruction itself will only confirm the Prime Minister's statement to the public on November 8 and improve public confidence in the banking system and reduce the hardships faced by the officers at counters," it said.
Pointing out that the banking system itself is losing credibility because of frequent changes in RBI/Government policies, Singh said customer dissatisfaction is increasing because of chaos and confusion created in implementation of the scheme.

"Bank Officers are being subjected to the anger, anguish and wrath of customers or general public due to short supply of currency notes to the banks, particularly to Public Sector banks," it said.