Demonetisation: Govt issues stern warning to banks on wrongdoings, say sources

By: | Updated: December 10, 2016 3:04 PM

The ministry said that no official will be spared if found involved in wrongdoing.

finance ministry issues banking, finance ministry banking issues, banking officials, banking officials, In a major crackdown, at least 27 public sector bank officials have been suspended on the charges of wrongdoings after centre’s demonetisation move. (ANI)

In a stern warning, Finance Ministry has told banks that it is closely monitoring the issues pertaining to the wrongdoings by some bank officials, ANI quoting sources reported on Saturday. The ministry said that no official will be spared if found involved in wrongdoing. The ANI sources said, the ministry is seriously looking into the matter.  In a major crackdown, at least 27 public sector bank officials have been suspended on the charges of wrongdoings after centre’s demonetisation move. Major private sector bank, Axis Bank, had on  Tuesday suspended its 19 officials allegedly involved in illegal activity post demonetisation.  The Finance Ministry, along with the Income Tax departmet, started keeping a close tab on employees of state-run and private sector banks after reports of alleged irregularities in converting old currency into new notes post the demonetisation drive. Recently, several branches of Axis Bank were raided in alleged discrepancy by some its officials.  In its most recent survey, Income-Tax discovered 44 fake accounts at Delhi’s Chandni Chowk branch of Axis Bank on Friday.

The move comes after the Central Bureau of Investigation (CBI) and Enforcement Directorate (ED) tightened the noose on bank officials since note ban to curb black money conversions into new notes.  Last week, the ED had arrested two managers of Axis Bank’s Kashmiri Gate branch in New Delhi and recovered gold bars weighing more than three kg. Both were sent to ED custody till December 12.

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