Letter to BS: Hawk eye in banks need of the hour to detect frauds early

Banks must scrupulously observe all the systems and procedures prescribed for the conduct of the banking activities

This refers to "All you wanted to know about banking frauds" (November 18). At a time when the banking sector, particularly the government-owned banks, are hamstrung by the undeterred incidents of bad assets, controlling and addressing the credit-related frauds is crucial to protecting the banks from financial and credibility damages. Despite robust systems to ensure preventive vigilance, the banks fail to prevent the occurrence of frauds which indicates that the strong involvement of the staff nullifies the existing prevention measures. While loans and advances are more prone to frauds, banks should keep a watch on the activities of the concerned