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L-G requests RBI to inquire into cooperative bank ‘scam’

Lieutenant Governor Anil Baijal on Thursday requested the Reserve Bank of India (RBI) to inquire into the allegations of irregularities…

L-G requests RBI to inquire into cooperative bank ‘scam’

Delhi LG Anil Baijal (Photo: Twitter)

Lieutenant Governor Anil Baijal on Thursday requested the Reserve Bank of India (RBI) to inquire into the allegations of irregularities in Delhi Nagarik Sehkari Bank Ltd for reportedly giving loans against fake and fictitious ITRs and illegal appointments.

Baijal had earlier referred the matter to Anti Corruption Branch (ACB) for inquiry on 16 October last year.

Already 40 appointments made by direct recruitment have been cancelled and promotion of 62 employees of Bank has been set aside. A number of FIRs have also been lodged into the case.

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“RBI has been requested to inquire into the matter to ensure that there are no financial irregularities in the running of the bank and wherever required, corrective and preventive measures/actions are taken,” a statement issued from the LG’s office reads.

The statement said that the economic offences wing (EOW) of Delhi Police has also been directed to investigate the entire matter.

“ACB has been provided the copy of the various reports and directed to inquire into the matter expeditiously for action as per law,” it said.

A “scam of Rs 100 crore” in the Delhi Nagrik Sehkari Bank, as well as improper recruitment of relatives of officials, was also being investigated by the Delhi Assembly, Questions and Reference Committee.

As per a complaint from July 2012, 40 employees of the bank had been recruited without due process and 62 had been given illegal promotions.

A petition was filed in the Delhi High Court, which had on November 27, 2012, ordered the authorities to decide the matter in three months.

In another allegation against the bank, a case was filed in the HC about loans given on the basis of fake income tax returns. On August 5, 2015, the Delhi High Court had ordered the RCS to decide on the complaints.

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