Left Menu
Development News Edition

Ex-ED of Indian Overseas Bank appointed CVC board member on bank frauds

Ex-ED of Indian Overseas Bank appointed CVC board member on bank frauds

Former executive director of Indian Overseas Bank A D M Chavali has been inducted into a five-member advisory board for banking and financial frauds created by the CVC to act as the "first-level of examination" in respect of general managers and above rank officers, according to an official order. The tenure of Chavali would be up to August 20, 2021, the order issued by the Central Vigilance Commission (CVC) said.

The board, headed by former vigilance commissioner and the then chief of Indian Bank T M Bhasin, has former urban development secretary, Madhusudan Prasad, former director general of the Border Security Force, D K Pathak, and the then managing director and chief executive officer of Andhra Bank, Suresh N Patel as its members. No action can be initiated against top bankers for involvement in suspected frauds before the advisory panel reconstituted recently by the CVC gives its nod for it.

"The advisory board for banking and financial frauds shall function as the first-level of examination, in respect of officials in the rank of GM and above in public sector banks and equivalent thereof in public financial institutions incase of frauds amounting to more than Rs 50 crore, before such organisations initiate action in matters of banking and financial frauds," the probity watchdog said. The board will also tender advice in respect of these top ranking officers under all relevant laws, including all composite cases, it said.

The move followed a fortnight after Finance Minister Nirmala Sitharaman had assured bankers that honest commercial decisions taken by them will be protected and a distinction would be made between genuine commercial failures and culpability. All administrative ministries and entities of the government have been asked to ensure that the advice of the board "has been sought, received and made available, in respect of officials in the rank of general managers (GM) and above in public sector banks and equivalent thereof in public financial institutions incase of frauds amounting to more than Rs 50 crore to the investigating agencies", the CVC said.

These probe agencies may take such advice into account while taking consequential action to initiate preliminary enquiry or investigation and follow due procedure under the Prevention of Corruption Act, 1988, it said. "Incase during the course of investigation, the involvement of a public servant employed in public sector banks and public financial institutions above the rank of GM comes to the notice of the investigating agency, they may refer the matter to the board for advice before proceeding further," the order said.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

Download The Devdiscourse News App for Latest News.



Future of Food: Technology fostering the road to global food security

Technological innovation can help address most of the pressing issues facing the world today including food security by enhancing productivity, improving financial services, managing resources, addressing environmental concerns, etc....

Conspiracy theories on COVID 19: Legislators, Scientists, and Journalists all joined the Caravan

Conspiracy theories are not new for virus epidemics. There have been conspiracy theories on HIV-AIDS, Polio Vaccines, Ebola Virus, and several other diseases as well. However, what makes the 2019 Novel Coronavirus different from others is ...

Now it’s a war, Uganda deploys army to combat locust swarms

Its for the first time after 1986, the locust swarms have attacked Uganda twice in a season. With the increasing number of countries of Africa under attack by locust swarms, the problem seems to have taken a regional paradigm. Its very diff...

Top 10 Fake News, Myths and Realities on 2019 Novel Coronavirus COVID 19

With nearly 1500 deaths by January 14 and around 65,000 infections in China, the Novel Coronavirus 2019 has become one of the worst health epidemics of the 21st Century. However, 8,573 people have been cured but the rumor mongers are a...


Latest News

South Korea reports 60 new coronavirus cases, total 893

Seoul, Feb 25 AFP South Korea reported 60 more novel coronavirus cases on Tuesday, the smallest increase for four days in the Korea Centers for Disease Control and Preventions morning updates. The country now has 893 cases, the KCDC said --...

Italy authorities urge calm as coronavirus cases stabilise

Italy reported its seventh death from the new coronavirus Monday, but officials called for calm and reported a lower rise in the number of infections after a spike over the weekend. The number of cases now stood at 229, the head of Italys c...

Testimony alleging past Weinstein sexual assaults bolstered difficult case

In order to secure the rape and sexual assault convictions that will send Harvey Weinstein to prison, prosecutors called a parade of witnesses who portrayed the former Hollywood producer as a man who abused his power to prey on younger wome...

Report: Jags to decline DT Dareus' $19.5M option

The Jacksonville Jaguars will decline defensive tackle Marcell Dareus 19.5 million option for the 2020 season, NFL Networks Ian Rapoport reported Monday. Rapoport added that the Jaguars will also decline linebacker Jake Ryans 5.5 million op...

Give Feedback